Feed Price Risk Management
Take charge of your
operation’s feed costs.
After every record-yielding crop year since 1970, the prices for corn and soybeans have almost always rallied the following year. The average price rally in the year after a record-yielding corn crop is 70 percent for corn. The average after a record-yielding soybean crop is 60 percent. These numbers underscore both the uncertainty of commodity markets and the need to take charge of your operation’s feed costs. A strategic approach to price risk management can lower your average price paid.
Volatility in grain markets warrants consistent, disciplined management of feed price opportunities and risks.
Three behaviors that can influence your decision-making
It’s easy to act irrationally when markets are volatile. In fact, irrational behavior can be explained. Here are three behaviors that can influence your decision making when it comes to purchasing feed (or selling milk).
How Market Scenario Planning helps feed buyers
You can follow to help you protect against market risk and capture market opportunities. Stewart-Peterson President Patrick Patton explains how the concept of Market Scenario Planning helps feed buyers, on Dairyline Radio.