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Food grade premiums enticing farmers

The specialty products manager at AgReliant Genetics says some farmers facing tight margins are turning to food grade corn production.

Chuck Hill tells Brownfield the premiums can be attractive.

“With the lower commodity prices, these buyers get a lot of phone calls, people wanting to get in.”  He says, “There are some things that you have to do. You got to keep things separate, so you do get paid for your management as well as getting paid for the IP part of it.”

He says most hybrids are grown like field corn, but there are some other management considerations.

“Nitrogen management is a big part of Hard Endo corn, not just for yield, but do I need to put it on for quality because they’re gonna get paid for quality,” he says.

Hill says most end-users have established relationships with growers, so…

“You try to get in in the good times and out, it never works,” he says, “and you’re gonna not be profitable. You just gotta get in and stay in.”

Hill says genetic advancements have brought food grade corn yields on par with field corn, and he encourages growers to investigate potential partnerships with food grade end-users in their region.

AUDIO: Chuck Hill – AgReliant Genetics