Agricultural News
Marketing Assistance Loans May Help Producers With Low Harvest Prices - Kim Anderson Explains
Fri, 01 Jul 2016 01:24:23 CDT
Oklahoma State University Extension Grain Marketing Specialist Dr. Kim Anderson says he's not sure wheat prices have reached the bottom yet - there could still be a $.20 to $.30 cent decrease. With millions of bushels of grain stored on the ground and domestic prices higher than the world price, Anderson says the price is going to have to come down in order to start moving wheat onto the market.
"We've got the summer crop harvest coming up. Corn's looking good; sorghum's looking good; beans are going in the ground and looking relatively good; we've been getting timely rains," he says. "We've got to put a lot of product in the bins this year and to do that we've got move some product. And to move product, you've got to lower the price to get it on there."
If prices go up after the July Fourth holiday, Anderson says he thinks "we will have probably bottomed out, and we'll be moving up."
As producers move forward, Anderson says the FSA Marketing Assistance Loan may be a good option to put a floor under prices.
"Over the next nine months after they go in the loan, if prices go up, then they can take advantage of that price," Anderson says. "They'll pay a little storage, which they'd have to pay anyway, and they'll pay 1.5 to 2 percent interest on the loan."
Anderson recommends producers call their county FSA office for more information on the Marketing Assistance Loan program or visit http://www.fsa.usda.gov/programs-and-services/price-support/commodity-loans/index.
Click on the LISTEN BAR below to hear Anderson talk more about current market conditions and the FSA Marketing Assistance Loan program, or you can watch him this weekend on SUNUP.
This week on SUNUP, we check in with David Marburger for a harvest recap and early results from the OSU Wheat Improvement Team's research variety trials.
-In the Mesonet report, Al Sutherland and Gary McManus analyze 30-day rainfall totals and the latest drought monitor.
-Then, Justin Talley takes a comprehensive look at Oklahoma mosquitoes. Discussion includes insect types, breeding information and viruses such as Zika and West Nile.
-Derrell Peel discusses how uncertainty in the aftermath of the Brexit vote could impact livestock markets and beef imports/exports.
-In Cow-Calf Corner, Glenn Selk covers mineral needs, including record keeping, mineral calculations and a reminder about implementation of the new FDA Veterinary Feed Directive.
-Finally, in Food Whys, Nurhan Dunford shows us the different qualities among a variety of food oils.
Watch SUNUP Saturday at 7:30 a.m. & Sunday at 6 a.m. on OETA-TV
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