Posted 1/12/2019 06:58 (#7239119) Subject: The seed corn "game"
I am just curious and asking a question. On a weekly basis I run into people that buy seed corn from major suppliers with a huge disparity in pricing. These people live in the same relative area so no, it is not due to zone pricing. I have run into guys buying new and current products for $235/unit and 10 miles down the road I will find a guy happily paying $305 for the same products. Not generally, but in some cases the guy paying the higher price is buying more units than the guy who is paying the lower price. In many cases the guy paying the higher price is actually more loyal to the brand that the guy paying the lower price. With these challenging economics there are growers planting identical products with a $30-$40 per acre advantage in seed corn costs alone and it appears to be purely based on that individual's ability to negotiate. I guess all is fair in love, war and farm inputs. In what other industries does this occur? Is this reasonable and acceptable?