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Negotiating Basis??
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chadlit
Posted 1/18/2019 08:08 (#7253240 - in reply to #7253048)
Subject: RE: Negotiating Basis??



SD
Oliver1 - 1/18/2019 07:02

sand85 - 1/17/2019 20:45

If you have bins, some decent volume (like more than 800bu at a time), and will travel, you can often get even a local push. All a function of local supply and demand and depends on the volume your market puts through compared to what you can supply.

The heart and soul of negotiation is having an alternative you are willing to accept. Whether that is a different market or being capitalized enough to wait until later. If you are a captive/loyal customer to one bid it seems you often only get the posted price because they have no incentive to give you a push.


Very good advice.  I would maybe even suggest a good negotiator makes it look like the alternative is the preferred option.



So you are saying if I put up a 100k bu bin, I might be able to pick up another 5-10 cents per bushel through negotiating basis? Along with picking up the carry, one should easily pick up $.40-$.50/bu. Im going to explain this one to my banker and see what she says. The more I read threads on NAT, the more foolish I feel for leaving so much $ on the table.
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