STARKVILLE, Miss. (RFD NEWS) — A new calendar year offers producers a natural opportunity to reassess how grain and livestock are marketed, not just how they are produced. Will Maples, assistant professor and economist with Mississippi State University Extension, says effective marketing plans help farms manage risk year-round rather than relying on a single sales decision.
Maples stresses that a marketing plan is not designed to capture the top of the market every year. Prices are shaped by supply, demand, and unexpected shocks, including weather, trade disputes, and geopolitical events. Instead, a sound plan creates discipline, helping producers make consistent decisions aligned with business goals rather than reacting emotionally to price swings.
Those goals should drive the plan. Risk tolerance, cash-flow needs, and time horizon vary widely across operations, so marketing strategies should support the broader business plan. Cost of production is the foundation, as knowing break-even levels allows producers to set realistic price targets that protect margins.
Maples emphasizes proactive marketing. Spreading sales throughout the year, aligning targets with seasonal price strength, and documenting decisions can reduce pressure from forced sales and improve long-term outcomes.
Farm-Level Takeaway: A disciplined, break-even-based marketing plan helps protect margins and reduce risk, even when markets remain unpredictable.
Tony St. James, RFD NEWS Markets Specialist
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