In addition to keeping an eye on the daily, weekly and monthly gyration of grain prices, we also need to take a step back to regularly review bigger-picture, longer-term business decisions and investment plans. Whether it’s selling the farm, retiring from active farming, transitioning to the next generation or looking to expand and diversify your investments, farmland values are
Farmland has been a solid investment
Between rental values and appreciation, it can easily equal or beat other options
What we know and what we don’t
Perfect information isn’t possible, which is why having a plan is so important
If you’ve ever read any Malcolm Gladwell books, you’ll know that he makes some very insightful connections across different topics. In the process, he uncovers some underlying fundamental truths about how people and our world really work. His most recent book, Talking to Strangers, makes you think about how we deal with the unknown and
Canola looks pretty profitable, but so do a lot of other crops
Examining Manitoba's break-even yield risk ratio
Before you think we’ll see canola seeded from fence post to fence post this year, it’s good to look at some numbers. And while canola gets a lot of news coverage because of its futures market, the good news this year is that most other crops are showing high prices as well. However, while these
When to keep your crop in the bin
Storage can be your friend when marketing grain — but only sometimes
The famous line, “You got to know when to hold ’em, know when to fold” from the Kenny Rogers song “The Gambler” also rings true in grain marketing. Which grain to hold in the bin and for how long is influenced by many factors. Certainly an important component is your storage infrastructure. How much bin
Commodity markets simmering down
It looks like a much calmer ride could be in store for markets this year
There’s no denying 2020 was an unprecedented year. What surprises are in store for us this year? After so much uncertainty last year triggered by COVID, it’s easy to think that the surprises will continue into 2021. But, maybe the biggest surprise of all will be that there will be no big surprises this year!
As the calendar turns
2020 illustrated volatility in stunning fashion for market watchers
It’s that time of year again, as another calendar page turns. I’m sure we’re glad to see the end to this year, although that doesn’t mean things have magically changed on January 1. At least now we can take a look back with a better understanding of where we’ve been to help figure out where
Understanding basis one of the basics of grain marketing
This measure of local demand for grain in the handling system can help your marketing plans
What’s the basis for your basis decisions? Basis pricing doesn’t get as much attention as it should but is such an important, but often overlooked or misunderstood, piece of the grain-marketing puzzle. While many farmers do pay close attention to basis, others don’t. I initially looked at basis in this column a couple of years ago and
Take a wide view to understand canola pricing
Canada is a big canola producer but it’s the wider world oilseed market that bears watching
Where are canola prices going this fall?’ That’s been a common question, both this year and in years past. Many factors from around the world combine to affect canola prices. From production science, to consumer trends, to shipping and logistics, from new product uses, government regulations and trade barriers, to commodity substitutability — all affect the marginal supply
Taking a new view of grain markets
Don’t get caught looking at any issue from just one perspective
Every now and then you come across a story or analogy that really makes you think. Even if you know an area or subject matter well, you can still learn more about it when you look at it from different angles. This is especially true in the markets where the landscape is constantly changing because
Expect the unexpected in markets
When the unexpected hits, price variation can exceed the expected very quickly
Last article, I talked about managing risk and uncertainty in the markets. As you might recall, there is an important difference between the two. Risk estimates everything we think might happen. Risk is our guess about what the future holds. More precisely, it is the range of things that might happen and how probable each
Cyber-Savvy Farmer
