Storing soybeans to maximize profits
According to Nasdaq, the price of soybeans and wheat continues to decrease, and concerns surrounding demand amid economic policy decisions made recently have risen. The Federal Reserve’s decision to raise interest rates for the first time since 2006 may be responsible for the drop.
“It was just easier for all these markets to go lower than higher,” said Christian Mayer, a market analyst at Northstar Commodity Investment Co., according to Nasdaq. “There’s nothing to spur them higher.”
Domestic demand for both corn and soybeans has tumbled as ethanol makers and livestock producers are working with lower profit margins. Soybeans fell 0.6 percent to $8.62 1/2 a bushel. This is the lowest price seen since Nov. 20, reported Nasdaq.
These drops are concerning for farmers who harvested in the fall. However, having an appropriate storage facility to preserve soybeans until the price is more favorable can be especially beneficial when prices plunge.
“Soybeans must be kept at 13 percent moisture or less.”
According to the Iowa State University Soybean Extension and Research Program, spoilage and reduced germination are damaging to grains. For maximum profitability, proper precautions must be taken. To avoid these types of circumstances, farmers must ensure storage moisture is not too high. This is especially critical for soybeans, as their high oil content makes them especially susceptible to spoilage.
While in storage during the winter months, soybeans must be kept at 13 percent moisture or less. Depending on the climate, various environmental adjustments may need to be made. For example, cool and wet seasons may require supplemental heat to keep soybeans dry.
According to weather.com, El Niño has impacted the winter weather across the nation. The southern regions of the U.S can expect a cooler than average season while the North will be warmer. Precipitation is expected to be above normal conditions in the South and below in the North. Farmers storing grain may need to adjust their current strategy to have the best storage option for their crop of soybeans.
Tracking weather patterns and knowing what to expect in the upcoming season will ensure maximum profit when it’s appropriate to sell.
Buildings for customizable storage
With a fabric building from Winkler Structures, farmers can feel confident in the durability and protection offered with these products. In addition, working with experts who care and provide expertise is worth the investment. Customers can control all components of the fabric shelter from the foundation to the vents available. Easy control of the features of the building allows farmers to tailor the fabric structure to their unique needs, such as moisture control.
In addition, each building is versatile, easy to erect and provides a durable solution for soybean storage. Farmers can deconstruct the building whenever it isn’t needed and reconstruct it once it is needed again. This is an especially appealing option for soybean farmers with changing storage needs.
Contact a professional at Winkler Structures for more information on customizable fabric buildings, and invest in an appropriate storage facility for soybeans.