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MSUE offers pricing strategy support
A farm management educator says a large 2023 crop is still causing issues for some farmers during harvest.
Michigan State University Extension’s Jon LaPorte tells Brownfield, “A lot of people did hold grain in storage hoping for better pricing.”
“Now the question that we’re hearing a lot of people asking is, ‘How do we both market an existing crop from last year plus the crop going forward that we’re harvesting?’”
He says a farmer’s cost of production should be the strategic focus of a proactive pricing strategy to get the space they need for at least breakeven.
“This may be a year where we’re not looking at a lot of profit opportunity,” he suggests. “Maybe we’re looking at minimizing the losses that we might have or we’re just in that kind of year where we’ve got more cost than revenue potential.”
LaPorte says the same approach can be taken with input purchasing to secure products when prices are more ideal.
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