The 2017 New Crop Iowa Commodity Challenge will provide the opportunity to learn crop marketing using a simulation to experiment with futures and ag options with real markets. The simulation farm has 600 acres of corn and 600 acres of soybeans. The farm has an Actual Production History (APH) of 180 bushels per acre (bpa) for corn and 50 bpa for soybeans. The farm is covered by 75% Revenue Protection crop insurance for corn and soybeans.
The plan is to market the insurance guaranteed bushels before harvest:
- Corn APH of 180 bpa X 600 acres = 108,000 bu.; 75% is 81,000 bu. available to market.
- Soybean APH of 50 bpa X 600 acres = 30,000 bu.; 75% is 22,500 bu. available to market.
Each participant is given 81,000 bu. of corn and 22,500 bu. of soybeans to pre-harvest market until an end date of October 18, 2017.
1. The first step is to view and print out the instruction sheet to join the simulation. This is a password protected simulation and the password is on the instruction sheet.
Please click here for the instruction sheet. You may want to print out the sheet to have it handy to register for the simulation.
2. Please click here for a quick link to the Commodity Challenge website. Follow the instruction sheet above and join the password protected game entitled: 2017 New Crop Iowa Commodity Challenge
If you already have an instruction sheet, the game password for #6 is: IA2017NC
It is suggested that you “bookmark” or “favorite” this page and the Commodity Challenge website for easy access to the educational material and the simulation.
Companion educational material designed to enhance your learning is available at: http://tinyurl.com/iacrops. The Marketing Tool Workbook available at that site has educational material, including forms to be used in marketing planning.
Please feel free to experiment and try marketing tools. Remember, the goal is to learn what real risk management is to help you on your farm.
For questions, please contact Ed Kordick, firstname.lastname@example.org