Farmer navigating challenging commodity markets
A Central-Nebraska farmer says knowing his cost of production has helped manage volatility in the grain markets.
Clay Govier tells Brownfield last week’s rally helps provide some relief. “Because things were kind of looking a little bit tougher given input prices and everything. I mean, historically you kind of look at $5 corn, you’re like, no, that’s not too bad, but not when fertilizer and all your input costs are as high as they are.
And, he says, it’s helpful to be versatile long term. “We’ve sold enough grain on new crop grain that we’ll be able to fit everything else in the bin. So, if you have storage, that sure gives you a lot of a lot of leverage just because of the strong basis we’ve had for the last couple of years. That’s really paid for itself pretty quickly.
Govier says drier weather in the Eastern Corn Belt could be a reason for last week’s rally.