|
| I've been lurking here for years--have learned a lot listening to you guys and thanks for it. Now I need your help to understand my local coop's refusal to allow members to buy out forward cash contracts. My deal is I've sold about 1/3rd of the expected wheat crop, but because of drought that is now closer to 2/3rds of the crop--and getting worse with every rain we miss. I'm willing to pay the difference between my contract prices and the current price ($2.50/bu for some early sales) and also pay a cancellation fee ($.10 per bushel), so what am I missing from the Coop's side. Not trying to back out on a deal--only reduce my risk. With the current dip in prices, buying out some of the contracts would reduce my risk of having to come up with grain at harvest if the drought continues and prices recover and end up even above the crop insurance payment. I know many corn guys had a similar situation last fall--is it just tough luck (deal's a deal) or is there something that can be done? Thanks! | |
|
forward cash contract sales
