In this modern world, farms and farmers need grain marketing in order to help sell their crops. And they need to reach far and wide in order to boost their sales. Farmers need not only to earn back what they have spent on their capital but also get decent revenue from it. If you didn’t know where to start or thought it would be too hard to develop your grain marketing plan, then try these ideas.
Prepare Your Marketing Plan
Just like any other business, your marketing plan plays a vital role in your success. You must know your market prices, the local base, as well as the storage costs, and all of these are included in your marketing plan. This industry will not make it easy for both the buyers and sellers. That is why a plan for marketing your grain would help you focus more on the present and the future.
Understand Your Production
The best tip by far in order to improve your grain marketing efforts and to make the most out of it is to know and understand how much it costs to grow your crops. It can be by the bushel for every grown crop. This is something that can be checked every year and you can go back, and compare.
Storage and Handling Costs
When deciding when to sell your grains, it is very important that you also consider how much it will cost you to store and move your products. Remember that the longer you keep grains, the more these costs will be cut from your income. This is true even if you prefer to keep or hold the grain on your farm. It can still cost money to store it.
Work With A Grain Broker
It is very important that these days, you find all possible ways that you can market your crops. And most farmers are working with grain brokers. They do not only have the knowledge and experience to help market and sell your products, but they also have connections in the industry that you might not have.
What is a Grain Broker?
A grain broker is basically an expert who helps sell grain. Grain brokers have the connections to bring together buyers and sellers this way both parties get the best deal. So what does a grain broker do? He basically is the middleman during this transaction.
The grain broker meets with people who want to buy grain, gives them a sample, and then negotiates a price that is reasonable for both the seller and the buyer. Grain brokers can work in both smaller markets as well as in huge commodity exchanges. So if you want to make sales faster, then choose to work with grain brokers.