Grain

Whether you grow wheat, milo, corn, soybeans or even white wheat, the Midland Marketing Coop grain department is dedicated to helping you get a competitive price for your crop. In addition to cash sales, our experienced team offers several different contract options to help you sell your grain. We can also help you market on-farm grain.
 
With a combined storage capacity of nearly 13.99 million bushels, we have elevators located in Hays, Brownell, Hargrave, La Crosse, McCracken, Natoma, Palco, Plainville, Toulon, Yocemento and Zurich to meet the needs of area producers. Six of our locations are situated on rail lines to provide access to rail markets. We’ve added storage to several of these sites over the past few years and we continue to reinvest in our facilities to meet the growing needs of our members.
 
Whether you’re a longtime customer or just starting to work with us, our grain marketing team is always just a phone call away to answer your questions. And if you’ve never marketed your grain through Midland Marketing, contact us today to learn about the value we can bring to your operation.


Market Hours

Trading Hours For Midland Marketing are as follows...

Monday-Friday 8:30 AM to 1 PM special announcements will be

made if we have hours that vary from this schedule.


Cash Bids


Contract Options

Midland Marketing offers a variety of ways for you to market your grain in addition to the cash sale. Click on the options below to learn how they can work for you. Please contact our office if you are looking for other contract options.

 

Cash Sale Contract   Forward Contract   Hedge-To-Arrive (HTA)   Basis Contract

Basis: The difference (or spread) between the local price and the Future price

Used to price grain ‘across the scale’ or off storage (delayed price)

Chicago Board of Trade (Future Price)

Reasons to use a Cash Sale

  • Cash Flow Needs
  • Avoid storage (DP) charges – or stop them
  • Think prices are going lower
  • Reduce risk on portion of production
  • Average out of sale prices over time
  • Lock-in a Profitable return on production
  • Transfer grain quality responsibility

Future price + Basis = Cash price

 

Establish a specific price for the future delivery of grain

  • At a specified delivery location
  • For a specified delivery time frame
  • For a specified amount of bushels
  • With specific quality requirements
  • Future price AND basis at BOTH fixed.

Reasons to use a Forward Contract

  • Lock-in Profitable return on production
  • Think prices are going lower for the delivery
    window and want to lock in the price today
  • Average out prices over time
  • Reduce price risk on portion of production

$3.50 + -$0.50 = $3.00

 

Only ‘lock in” the future price of the final cash price

Basis is left ‘open’— to be set any time PRIOR to delivery of grain

Delivery is required in the future, but the time frame can be altered

Reasons to use an HTA Contact

  • Offers a possible profitable return on production
  • Think future prices are going lower
  • Expect basis to improve prior to delivery

Future Price + BasisX = X

 

Only ‘lock in” the basis portion of the final cash price

Futures price is left ‘open’ — to be set any time PRIOR to delivery of grain

Delivery is required at a specific time and to a specific location in the future

Be aware of a carry market IF you try to roll it forward

Reasons to use a Basis Contract

  • Think about future prices are going UP
  • The basis is historically strong, and you think it will weaken
  • This CAN  be rolled forward but BEWARE of a carry market!

FuturesX + Basis = X

Cash Sale Contract

Basis: The difference (or spread) between the local price and the Future price

Used to price grain ‘across the scale’ or off storage (delayed price)

Chicago Board of Trade (Future Price)

Reasons to use a Cash Sale

  • Cash Flow Needs
  • Avoid storage (DP) charges – or stop them
  • Think prices are going lower
  • Reduce risk on portion of production
  • Average out of sale prices over time
  • Lock-in a Profitable return on production
  • Transfer grain quality responsibility

Future price + Basis = Cash price

 

Forward Contract

Establish a specific price for the future delivery of grain

  • At a specified delivery location
  • For a specified delivery time frame
  • For a specified amount of bushels
  • With specific quality requirements
  • Future price AND basis at BOTH fixed.

Reasons to use a Forward Contract

  • Lock-in Profitable return on production
  • Think prices are going lower for the delivery
    window and want to lock in the price today
  • Average out prices over time
  • Reduce price risk on portion of production

$3.50 + -$0.50 = $3.00

 

Hedge-To-Arrive (HTA)

Only ‘lock in” the future price of the final cash price

Basis is left ‘open’— to be set any time PRIOR to delivery of grain

Delivery is required in the future, but the time frame can be altered

Reasons to use an HTA Contact

  • Offers a possible profitable return on production
  • Think future prices are going lower
  • Expect basis to improve prior to delivery

Future Price + BasisX = X

 

Basis Contract

Only ‘lock in” the basis portion of the final cash price

Futures price is left ‘open’ — to be set any time PRIOR to delivery of grain

Delivery is required at a specific time and to a specific location in the future

Be aware of a carry market IF you try to roll it forward

Reasons to use a Basis Contract

  • Think about future prices are going UP
  • The basis is historically strong, and you think it will weaken
  • This CAN  be rolled forward but BEWARE of a carry market!

FuturesX + Basis = X


Market Overviews

 

 

 

Morning Grain Comments 5_17.pdf 

Morning Grain Comments 5_16.pdf 

Morning Grain Comments 5_15.pdf 

Morning Grain Comments 5_14.pdf 

Morning Grain Comments 5_13.pdf 

Morning Grain Comments 5_10.pdf 

Morning Grain Comments 5_9.pdf 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 
 
 
 

News & Commentary