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Senior Advisor

Re: F C Stone, Informa, USDA Reports

Hobby, guess that guy doesn't utilize home storage either or else it's already full or being reserved for fall crops.

On a side note, I traveled my usual route today and didn't see a single storage bin on any of my neighbors farms. I might be the odd man out.
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Honored Advisor

Re: F C Stone, Informa, USDA Reports

Sw: western SD,  Pennington county area.

 

Shaggy, if I hadn't just got my hair cut I'd trade you screen names. 

 

What storage is there is still full of last year's crop that is either not yet shipped and or sold.

 

I cannot think of many successful full time farmers that haven't come to the same conclusion I came to in 1985. 

 

In many areas there are multiple markets, delivery to any one of those immediately takes away all options but one.

 

Take a drive up north to I 80 then east to my area. This is a consistent large grain production area, wonder why all the farm storage?

 

What would your area do if most every year was either good or great production? After the second or third year suppose the local elevator would still be satisfactory? 

 

Read sw' s marketing story in the other thread.

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Senior Advisor

Re: F C Stone, Informa, USDA Reports

I have read SW marketing posts and understand what you're saying. SW has one thing that I don't and that's irrigation. The nature of our farming history probably is one of the main reasons this area doesn't have much storage. Not saying its never been done, but stringing together 2 or 3 dynamic years for crops probably happens 2 maybe 3 times in ones life time in this area and generally the fall crop primarily gets hauled to the feed mill and gets used for livestock feed rations throughout the winter. On farm storage just hasn't been top on anyone's priority list in this location.

Small cone bottom bins (500 bushels and below) are becoming popular, just not sure if that would qualify as home storage as much as it does feed storage.
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Honored Advisor

Re: F C Stone, Informa, USDA Reports

Shaggy you lack one other thing that encourages farm storage down here.

End users all around and a basis improvement directly south of us that gains us 50 to 60 cents of basis within 50-70 miles.

Couple that with the consistancy of irrigation and storage becomes a very good investment.

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Honored Advisor

Re: F C Stone, Informa, USDA Reports

one other thing,  storage takes some management and needs to be checked and aired occasionally.  Hobby is good at it. 

Down here it is easier in our dry climate.  He does it in a damp climate in a river valley that does not have our drydown capability.

He is also my reference point for soybean storage issues.

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Advisor

Re: F C Stone, Informa, USDA Reports

What we bin typically is our best price due to basis improvement over harvest. Wish I had more bins.
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Senior Advisor

Re: F C Stone, Informa, USDA Reports

Thanks for the additional explanation SW, and you are correct not many end users within that distance of this location. We've got about 4 very stable cooperatives within easy hauling distance, but is there really that much difference between them? We've also got a couple cattle feeding facilities but they both have operations of their own in excess of 5000 irrigated acres so they don't purchase many feeding inputs.
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