Downtown Shell Knob MO Come Visit! | Basically I can buy out of my contract for current market price plus a 20 cent dock. But I am making 20 more cents to haul it to the other place because the basis is 40 over instead of 20 over. So its basically a wash. The only thing is it does cost more to haul it south instead of the place I have/had it contracted, But I can be hauling corn strait from the combine now instead of waiting and trying to store it somewhere until I can start deliverying on the contracts. Either way Im making my contracted price! Btw, the only reason I did not contract to the place with the higher basis to start with is because there grain buyer will not contract corn for harvest delievery because they dont use the board to hedge on loads of corn coming in, They just try to buy every load they need when they think corn is cheap or when they absolutly have to have it. ( They buy 30 loads of corn a day that way) (It doesnt seem like sound business practice to me, but I wont judge.) They are both turkey/chicken mills but one only buys grain through grain brokers (So it must be contracted) and one only buys grain with a in house grain buyer, who loves buying grain for price upon delivery. |
Really need some advice!!
