I have been in the Dakotas for a couple weeks now. Late the other night I was driving west into Aberdeen and past the James Valley Ethanol plant near Groton, SD. From the looks of things, this large plant is really pumping corn through.

A smile came to my face as I read their large lighted sign out by the highway. In large red letters it said:

MONDAY'S CLOSING PRICE: $3.50

I found myself thinking, what a good change for producers, a local market that posts the price out by the road where I believe you can bring your production and sell it for a fair, local, posted price. Or you can choose not to sell at their price. It seems like a good, free market exchange.

Is this true? Maybe it is not quite that simple, is this price affected by "basis"? When can you deliver at this price? When do you get paid?

Overall I think this is a great thing for agriculture.

Recently however I heard of some plants wanting corn stalks/"biomass" too in addition to grain. I would be VERY concerned about the loss of organic matter to our fields if that happens. Hopefully we can avoid getting carried away and appreciate a good thing. jmho.

Jim at Dawn