Transcript Long-term storage issues

Grain Storage Issues
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Future Storage Needs ?
Who Builds New Storage?
Commercial Grain Companies
Land Owner
Renter
Commercial Storage
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Bigger Bins = Cheaper per bushel cost
Drying & Handling Equipment already in place
Manpower to handle the crop
Assume quality risk
Eliminates reloading from farm bin
Saves labor & handling shrink
• Eliminates over-drying cost & shrink
Commercial Storage
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Instant payment after grain sale
End users need steady grain flow
Normally trade large lots
Able to deliver large volume in short time
Commercials trade basis not price
Land Owner
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On-Farm storage is convenient at harvest
Tax savings
More flexible marketing options
Saves storage cost
Saves some drying cost ?
Who checks the bin when they go south
Land Owner
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Double handling
Quality risk
Most farm storage can’t handle wet crop
Equipment maintenance
Property tax & insurance
Have to move grain to get paid
Would renter use the storage
Why invest, I’m retiring
Renter
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Many farm on large scale
Haul with semi’s
Most interested in speed
Typically sell more grain ahead of harvest
Don’t want to check multiple bins over winter
Won’t invest in facilities on rented land
Grain In Storage
Quality Issues
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Soybeans harvested well over 13% moisture
Lots of bean storage with little or no air
Low oil yield
Low protein soybean meal
High moisture soybean meal
Grain In Storage
Quality Issues
• Corn Harvested 25% - 35% moisture
• Should be dried twice
• Inadequate air on most farm storage to handle
corn crop this wet
• Mycotoxins
• Low test weight
• Excessive kernel breakage
• Protein – Starch- Amino Acids