Posted by IaGary on September 30, 2011 at 01:57:14 from (69.63.5.162):
In Reply to: Re: Started beans posted by John_PA on September 29, 2011 at 22:10:26:
John are you saying that if you wanted to sell beans today for January or whatever month delivery you can not do it?
I do it all the time with any of the elevators around here. I can price beans or corn today for delivery for any month I want between now and 2 years from now and maybe out longer yet. When I sell to the local elevator they turn around and sell to a processor for the same month. The elevator figures what they need for a margin for trucking and paper work and that's what they bid me for that month delivery.
And storage costs for beans at the elevator 15 cents a month in PA? It's about 3 cents a month here for storage in Iowa.
You or I need to open an Elevator in PA. You can build storage bins for around $2 a bushel. In PA I could pay for the elevator in 2 years then reap the profits they are.
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