Farmers often see higher commodity prices in early spring, but it’s difficult for them to make pricing decisions then when “you don’t have a seed in the ground,” says Danny Morris, Extension area farm management specialist with the University of Tennessee.
It may make more sense for growers to price 10 to 20 percent of their crop early and then increase their sales to 30 to 40 percent and higher as they get a better idea of production potential at a later stage in the growing season.
“We’ve definitely been in a weather market the last few weeks,” Morris told farmers attending the 29th annual Milan No-Till Field Day at the Milan Research and Education Center in Milan, Tenn., on a rainy day in late July. “That can provide opportunities for making crop sales at higher prices.”
Morris, who covers a number of west Tennessee counties for UT Extension, also talked about crop insurance coverage in a time of higher costs and increased expense for crop insurance policies.
For more information on the Milan No-Till Field Day, visit www.milan.tennessee.edu.