Marketing versus selling


Type: PDF
Knowledge level: Intermediate

Farm Table says:

Ask yourself: are you a grain marketer or a grain seller?

This GRDC article states that most farmers are grain sellers, not grain marketers, and that’s ok.  They state, “With little ability to influence the market price for their product, individual grain producers must look to other strategies to increase their farm business profitability.”

As grain sellers, GRDC states that we must:

  • Know how much we have to sell
  • Know grain cost of production
  • Know the market
  • Know the various opportunities you have to sell grain
  • Know the risks

In addition, setting a strategy to sell is important. Strategies include:

  • Chase the market and aim to sell at the highest price
  • Sell for cash at harvest only
  • Sell to grain pools only
  • Sell 33%:33%:33%
  • Sell 50%:50%
2014 - Australia - GRDC
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