The Good Problem
    By Jeff Moritz     Lead Grain Merchandiser, Marion  

Harvest has finally arrived in Southeast South Dakota. As combines and farm trucks are rolling and will be for some time as our weather looks ideal to keep the momentum of harvest pushing forward.  So far yield reports have been a welcome surprise in most of the CFC trade area. That’s been great news as we all know how challenging the growing season was for the crops.

However, it has resulted in the ‘good problem’ of having to market more bushels than originally planned. The CFC origination team is willing to assist you in getting these additional bushels marketed using marketing alternative such as minimum price and basis fixed contracts. These can be solid choices versus Delayed Pricing contracts, and allow you to take some of the risk out of the pricing equation. 

We have a key USDA report coming out today, Friday September 30th, in the form of the Quarterly Stocks Report. Average trade estimates for Old crop corn stocks is 1.754 billion bushels. Old crop soybean stocks estimates are pegged at 201 million bushels. These figures would be a stocks build year on year from the September 2015 Estimate. While these numbers will get some attention, right now it’s all about the potential record large supply hitting the market, and how the pipeline handles the logistics of the same in an efficient fashion. I believe that we have potentially priced in a lot of the bearishness that is associated with a record large corn and soybean crop. The one X FACTOR that could be problematic to prices, specifically to soybeans, is the long position the funds currently own in that market.  From a chart perspective it seems like the signals are also pointing to the fact that we have seen our lows in these markets. That is not to say that we will not try a retest of the lows, but I think we will be hard pressed to pressure the market further than what we have already seen.  

Regardless of what happens in the coming days and weeks, know that you can call your CFC originator for information on alternative contracts, and to discuss a marketing strategy that fits your operation and manage price risk. We appreciate your business and we wish you a safe and successful harvest.

Fall is the Perfect Time
      By Brian Nelson     Agronomist, Salem

Harvest is off to a good start. Soybean yields are being reported normal to excellent, depending on late season moisture. Corn is about the same with average to excellent yields, which brings me to the importance of soil testing. Crop removal is going to be variable. It is a good practice to soil test. Soil sampling helps when choosing a fertilizer program. Our CMT variable rate fertilizer program can address many different issues.


A good fertilizer program has proven to be very beneficial even in drier areas. Check your fields and prioritize them according to which one needs to be completed first. Stalk integrity has been an issue in some areas.

While harvesting, be sure to keep an eye on the variety or varieties that are working for you. Seed pricing has come out, and we have a full line up of products to fit your needs.

Regarding chemical applications, fall is the perfect time to get some of this done. Pasture spraying works great in the fall with less risk of hurting off target crops. As your combining the fields, check your weed control. Some fields may need a chemical program that would be beneficial now and also help next spring.

As always have a safe harvest and if you need anything please call your agronomist. We can help with any of your needs. See you in the combine.