Thats all you need to read.

I know that the local guy here is paying $7 and is selling it for $9.99...So hes profiting $3 witch is damn good

I have a friend whose brother grows corn and is subsidized by federal funding. He told me that his brother has had to till under two crops of it so far this year, whatever that means. If this is happening on a larger scale, it would seem to me that it's more like supply manipulation. Big surprise, kinda like oil.

Do you REALLY think that the thousands of corn farmers through out the world could get together and coordinate the amount of corn acres planted so as to manipulate supply??? Wow.

I would bet they had the crop insured and it was a failed crop that the insurance company required them to till under in order to be paid on. You can not collect an insurance payment and then sell any part of a corn crop for hay, silage or grazing. I am not a farmer but this is what I have heard.

Ask the "local guy" what his net profit on corn is for 2011…

30%

they might make a dollar per bag.

I think the current spot price is roughly 638 cents per bushel (about 56 lbs shelled corn per bushel)....... Factor in processing, bagging and transportation..... not much room for profit.

Incorrect - insurance is on the bushels an acre not hay.
10year average.... if you cut it for hay and it has a lot of corn in it..insurance guy will dock you...on what he thinks it will make.

Example.... you corn has 200 bushell 10year average... insurance only pays if its under 80bushells. You bail it insurance guys says it would of made 70...you insurance check is for 10bushells acre.

Crop insurance on dry land you make a little....on irrigated your still meeting with banker and begging.

What?
Subs are to keep supply and demand even....to make crops worth more equal so that supply isn't to low or to high.

Exception is the BS corn ethonal sub...most farmers hate it because its causing wild price swings from planting to harvest.

Also no insurance on silage...it has to be green when you cut it, just like Sudan

BOBO what I meant is you can not collect insurance then bale hay or graze the crop. I must be plowed under to collect insurance. Correct or incorrect?

does not have to be plowed under.

Hay is a separate deal. Your insuring grain production not stalk.

Most years corn stalk is pretty worthless. This year being the exception.

I will get insurance money plus what my hay sales where this year...the insurance amount will depend on how much corn was in it when I baled it.

The posters brother might of just said the hell with it because it was dry land and never got over 2ft talk or didn't want ro mess with it..no way of knowing.

Most corn stalk hay is 8 percent or less and on normal years if you can sale it might make $5 bucks a bale. Just don't see someone disking under am entire corn crop...that's a lot of work to get all those stocks choped up.

Even corn stubble is a pain...if we don't no-till wheat into it we set it on fire.
I cant image the fun of disking whole stocks under.

No corn in my area but have insuranced wheat out in the past. You insure the crop for a certain percentage level of the field's average production...50%,75%,85% etc. with the premium increasing as the percentage increases. If the bushel per acre yield does not reach the insured amount, the crop insurance pays the difference less the premium. Actually it is more complicated then that because there is a complicated way of setting the price per bushel and other things but that is basically how it works. I assume that corn is simlar. In the case of a major train wreck like this year, the cost of harvesting a very poor crop may exceed the return and it may be more economical to plow the crop under. Been there and done that. Takes the fun out of life. Crop insurance doesn't come even close to covering total costs but it keeps the lending agency happy.

Dick's sells 40 lbs of corn for $6.98. Academy recently had it in sale for 6.98. Dicks is aflotoxin free. I don't think Academy's is.

The Feed Store I go to sells 50 pounds for $10.60. He can't buy it at the same price as the big boys.

Does anybody think that Dicks isn't making money? Does anybody think that Cabelas can't buy it at the same price as Dicks?

Its a commodity so the price is basically set by the spot and futures markets. If you didn't contract at a futures price you have no choice than to buy based on the spot market.

It can go the other way if the spot market falls when your locked into an existing contract

I think we should ask the farmer how much he's charging the retailer...answer is probably too much! The proof is probably that new John Deer and 3/4 ton chevy pickup!....just stir'n the pot...love my farmers!