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Goff Kansas | It takes alot for us to take it to the elevator anymore.. We have no problems with them, but once you lose control over the destination of the grain, you lose control of the basis, which is where bins pay.. You have to keep your eyes open to find the end user that ran short, or guessed the market wrong, and capture that good basis.. Selling in bulk is another ++.. Don't be afraid to hedge and capture carries when they present themselves.. Definately not last, but all i can think of right now, When you are paying storage at the elevator, the emotion that is involved in selling that grain increases.. If i am paying storage, it eats me up. I pull the trigger uninformed many times, where if i have it in the bins, usally the bins are paid for in two years, and storage costs are not so much an issue.. I can take my time and make more of an informed decision. After this year of building, we can hold around 110% of an average crop, which puts us in control.. If we need cash flow, CCC loans at cheap interest almost always pay, especially with the rate of inflation in ag right now. Saying all this,, we may not even use the last bin we put up this year, for our crops are looking like cr*p.. Good rain cures alot, but don't think it will be a bin buster this year.
Bottom line,, bins almost can't go wrong.. Good investment.. | |
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grain bins?
