The markets have seen their share of ups and downs lately, making risk management all the more important.
One ag economist says all farmers need to go back to the basics.
“Let’s go back to some core basic strategies that we can pull out of the bag for our marketing plans. One of those is to recognize that, number one, you, as a farm manager, are not fast enough to chase the marketplace. Things are happening so quickly. The volatility is so high that you can’t chase the market, so the challenge is how do we try to get out in front of this?” said Frayne Olson.
Olson says farmers need to sit down and crunch the numbers, then decide what price they are willing to sell at.
“And a lot of that is based on your cost of production and the cost of storage. Those are things that you know and have much more direct control over.”
Olson adds that placing orders ahead of time can help you capitalize on acceptable prices, saying it helps avoid impulsive decisions during market volatility.
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New Resource Makes It Easier for People to Access Data on Rural Development funded Projects in Rural Communities
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RFD NEWS Correspondent Frank McCaffrey speaks with Texas’s Sen. Ted Cruz and Rep. Vicente Gonzalez about USMCA renegotiation and its impact on U.S.–Mexico agriculture trade.
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Rising rural business confidence supports local ag economies, but taxes and labor shortages remain key constraints.
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CoBank Knowledge Exchange’s Jeff Johnston shares the group’s positive perspective on expanding data centers into rural areas and weighs the risks and rewards for those communities.
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