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Arable Farming
Cropping
Combinables Price Tracker
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<blockquote data-quote="DrWazzock" data-source="post: 8115959" data-attributes="member: 2119"><p>The dynamics of the grain markets fascinate me really. I can pick up the phone and sell feed wheat forward for November at what would appear to me to be an unsustainable price but a contract is still made. How do they know they’ll have a customer for it? Imagine it on a Parish scale. My chicken farmer says he is not buying it at that. He will wait till November. I’m technically stuck with a worthless product till then. If he can’t use it, what’s it worth then?</p><p>I know, it’s global, but there must come a time when customer resistance will put the brakes on or reverse the price however scarce it is?</p></blockquote><p></p>
[QUOTE="DrWazzock, post: 8115959, member: 2119"] The dynamics of the grain markets fascinate me really. I can pick up the phone and sell feed wheat forward for November at what would appear to me to be an unsustainable price but a contract is still made. How do they know they’ll have a customer for it? Imagine it on a Parish scale. My chicken farmer says he is not buying it at that. He will wait till November. I’m technically stuck with a worthless product till then. If he can’t use it, what’s it worth then? I know, it’s global, but there must come a time when customer resistance will put the brakes on or reverse the price however scarce it is? [/QUOTE]
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