Date of this Version
Grain marketing decisions during the 1950's and 60's were not as critical as in the past few years. During the 50's and 60's grain producers faced stable prices resulting from government production controls with prices fluctuating over the year perhaps 15 cents to 25 cents per bushel. As a result, producer marketing decisions had very little influence on revenue obtained by the firm. With more international involvements, producers have gone from an era of stable prices and large government surpluses to an era of unstable, widely fluctuating, and now declining prices for most major grains. The producer has two basic marketing alternatives, the cash market, and forward pricing. Forward pricing is comprised of forward cash grain contracts and the futures market.