Customer > News > Are you tired of market volatility dictating your grain prices?

Are you tired of market volatility dictating your grain prices?

Mar 11, 2024

Are you tired of market volatility dictating your grain prices? It’s time to take control with a diversified marketing approach. Introducing the average price contract – this contract is another tool to add to your marketing plan to help manage market volatility.

DID YOU KNOW?
Over the past ten years, the markets reached their annual high between March and July in seven of those ten years.




The average pricing contract will market a portion of grain committed every day the CBOT is open using the day’s closing price. For example, if you choose to sell 5,000 bushels and the pricing window is 48 days long, IAS will price 104.16 bushels per day.

Standard pricing window:

Corn Pricing Window
April 15th – June 21st (48 pricing days)

Soybean Pricing Window
April 15th- June 21st (48 pricing days)

Flexibility with the average price contract includes:
• Price Contract (futures and basis set) or HTA (futures only set)
• Standard pricing window or customizable pricing windows
• Ability to price out remaining unpriced bushels at any time
• Minimum Threshold sell price
• Futures months and delivery points • Bushel volume (no minimum)

The Minimum Threshold sell price will pause the contract from pricing on days the market is below the set threshold price. Once the market meets or exceeds the minimum threshold sell price, it will price that day’s bushels and catch up on its missed pricing. When utilizing the Minimum Threshold, the contract may price zero bushels, or it may price less than the contracted bushel amount. The day’s CBOT close will be used on all daily pricings.

Call us today and work with our grain team to decide if the average price contract strategy is right for you!

Monona (563) 539-2001
Masonville (563) 900-5700
Hubbard (641) 864-226

 

Read More News

A behind-the-scenes look at Phillip Minnaar, H-2A Program Participant
Apr 19, 2024
Discover Phillip Minnaar's captivating journey from his farming roots in South Africa to embracing the American agricultural landscape's technological advancements and warm camaraderie with Innovative Ag Services. His story, a testament to the transformative power of the H-2A program, showcases the intersection of tradition and innovation in agriculture. Explore Phillip's experience and the impact of the H-2A program at innovativeag.com, where every day presents a new opportunity for growth and learning.
Innovative Ag Services Member Tim Daly: Pioneering Sustainable Farming Practices
Apr 19, 2024
Through initiatives like cover crops and no-till practices, Tim prioritizes soil health and conservation, leading to tangible improvements in productivity and resilience. Partnering with Innovative Ag Services (IAS), Tim accessed programs like Truterra and cutting-edge technologies, further advancing his sustainability efforts. Click to delve deeper into Tim's transformative journey and be inspired to join the sustainable farming movement.
Join the Innovative Ag Services Annual Calendar Photo Contest!
Apr 11, 2024
Get your cameras ready and unleash your creativity in the 2025 IAS Photo Contest! Capture the essence of cooperative living and submit your entries for a chance to be featured in our annual calendar. Share your unique perspective on the cooperative lifestyle with quiet moments and stunning landscapes that define our community. Whether it’s a serene vista, daily life snapshot, or dynamic action shot, we welcome your submissions. Winning photos will be showcased in the upcoming calendar.

Related Topics

Grain