AMARILLO – The feed-grains market is in chaos, but a two-day workshop Feb. 8-9 might help producers have a better understanding of what is happening, said a Texas AgriLife Extension Service specialist.
“Changing supply and demand conditions, potential acreage shifts, U.S. Commodity Futures Trading Commission restrictions, the elimination of the ethanol tax credits/barriers, La Nina, the European debt crisis, among other things will make 2012 one of the most challenging marketing years for feed-grain producers,” said Dr. Steve Amosson, AgriLife Extension economist and coordinator of the program.
The 2012 Feed-grains Workshop, which will run from 9 a.m. to 4 p.m. each day, will be held at the Texas AgriLife Research and Extension Center-Amarillo, 6500 W. Amarillo Blvd.
“Producers attending can expect to get a better understanding of the fundamental and technical factors affecting the feed-grains market for the upcoming year,” Amosson said. “The ultimate goal of the workshop is to develop a written marketing plan for the 2012 crop.”
Attendees will look at projected impacts of ethanol production, feed use, exchange rates, price levels, weather concerns, industry issues and basis. In addition to the fundamentals, specific attention will be spent discussing the marketing tools that may best fit this year’s marketing plan, including pros, cons, how and/or when to use them and potential implications to your credit line, he said.
“If producers just pick up one piece of information that helps them improve their marketing by a dime, that’s equal to $10,000 on a section of corn production. I don’t see how a producer can afford to miss this opportunity.”
Amosson and Dr. Mark Welch, AgriLife Extension grain marketing specialist from College Station, will serve as the primary instructors. A panel of area lenders, brokers and grain merchandisers, as well as special guest analysts will provide additional insights into this year’s markets.
“I can’t remember a year where there have been so many unknowns that could impact the feed-grain price,” Amosson said. “Producers really need to understand what is and could be happening this year in order to make informed marketing decisions.”
He said the goals of this year’s workshop are to identify and quantify factors that will be effecting this year’s market and discuss what marketing tools and strategies they have available to deal with them.
Preregistration is required and attendance is limited to 60. The cost of the workshop is $125 per participant and covers the costs associated with instruction, breaks, meals and materials.
For more information, including the workshop brochure, contact Leon Guerrero at 806-677-5600.