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Grain elevator manager says volatility is at a high point

A grain elevator manager says this is the most volatile price environment he has seen in his 30 years of business.

Mark Heil is with Prairie Central Cooperative in central Illinois.

“Over the last year or two it has been about as volatile of an environment as you can see. Not just for corn and soybeans but also natural gas, diesel, propane and fertilizer for farmers to grow them.”

He says their price for natural gas has increased close to 150% from their 10-year average, so while $6.00-$7.00 corn and $14.00 -$15.00 soybeans are very good prices, “It has to get passed all the way through the chain to the end user. So, it is going to be an unusual situation where it will take the entire price right now.”

He says in the end, farmers and elevators will figure out how to make ends meet, but it is a very challenging environment.