2021 crops: risk management decisions
Is your plan in place to manage risk for 2021 corn and soybeans? Farm program, crop insurance and crop marketing planning are needed tools to manage the current volatility and historic profitability levels available now.
- Estimated revenues per acre for corn and soybeans for 2021 are the best we have seen for years. The accompanying graph shows recent revenues for soybean acres versus ISU estimated costs of production. New crop futures less an example basis multiplied by 56 bushels per acre are represented by the green line. The 2021 ISU estimated costs of production can be found at this link.
2021 Crop Insurance and Pre-Harvest Marketing webinar (Wednesday, March 3 at 1:00 pm) Do you understand how Revenue Protection Crop Insurance works in up and down markets? Does the new Enhanced Coverage Option (ECO) have a place to cover shallow loss for your farm? How can RP make you more confident to sell crops before harvest? Speakers will be Kasey Engel, Regional Crop Consultant for Farm Bureau Financial Services and Ed Kordick, Iowa Farm Bureau Farmer Education Program Manager. More information and registration are at this link. Those registered will receive reminder e-mails and a reminder when the recording is available.
- March 15 is the deadline for farmers to make the make Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) decision for 2021. Farmers should consider their risk management needs and evaluate which program is best for their needs. Decisions are made crop by crop and farm number by farm number. ISU Extension and Outreach has an upcoming statewide webinar next Friday, Feb. 5 at 1:00 pm. In addition, there are follow-up regional webinars and webinar recordings. See the registration page to sign-up for one or all sessions.
- March 15 is also the deadline for crop insurance decisions. Contact your crop insurance agent to get a plan in place. The revenue level for 2021 crops has increased dramatically from recent years. Your crop insurance decision is important to protect your operation.
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