Posted 7/7/2026 07:05 (#11694587 - in reply to #11694410) Subject: RE: BiNs DoNt PaY
ks_cover_crop - 7/6/2026 21:25
doathlon - 7/6/2026 21:18
Bins didn’t pay in 2026. You can’t do math if you think they did.
Bins pay on basis and carry. The change in futures price has nothing to do with bins paying. The example above shows a $1 gain in basis over 8 months, thats definitely profitable if spreads were managed correctly.
Factor spoilage, increased fuel prices, phantom loss, interest costs and market drop of .80 and they lost big time. Sure, if you were hedging or forwarding grain in December or March for July delivery they paid, maybe, but the trucking may eat it all up..... As for maintenance costs for the guys with grain legs...... Ouch. Rough year for storage. Good news is this year the bins will pay like slot machines, IMO. I use bins and commercial storage so my opinion is based on having experience doing both. For me, the advantage bins give me is simply delivering to ethanol and soy crush plants. Our basis in the west corn belt is generally only about a 20-30 cent spread and trucking/Labor will eat up nearly all of that. I also run a trucking company so I'm a little more experienced in true costs then your average farmer. This year I sold my bins out early and bought back on the board along with bailing early on anything in commercial storage at harvest . I've made more money doing that this year then anyone holding in a bin and now delivering. Some of you guys just can't admit when a bin takes your money......There are years it will and 2025 was one of them. 2026 will be a great year to store grain but also a great year to sell at harvest and buy the board. Both will win
BiNs DoNt PaY
