Be aware of crop damage and discounts
The 2018 corn and soybean crop has endured lots of weather stress and the end of the growing season has produced quality concerns. Farmers should check the discount schedules of their buyers and be aware of the variety of discount schedules used by different buyers. A quick review of 7 cooperative elevators' discount schedules for damaged crops and foreign material reveals that each buyer has unique discounts. Be aware of the discount schedule used by your buyers which may vary widely depending upon location and ultimate destination of the crop.
The quick research revealed that there is some consistency in the % of damage and foreign material allowed. After those allowances, discounts vary. For damaged corn, 5% was allowed by most elevators with discounts above 5%. For damaged soybeans, 2% was generally allowed with discounts above that level. Foreign material allowances were generally 3% for corn and 1% for soybeans with all FM deducted from gross weight. Crop discounts are subject to change, so check with your buyers.
For a look at the visual examples of what constitutes various damages to corn and soybean seeds, go to the USDA AMS Federal Grain Inspection Service Visual Reference Library at this link.
USDA’s Risk Management Agency (RMA) issued a new fact sheet to help producers fully understand the process for filing quality adjustment claims for damaged soybeans under the federal crop insurance program.
Related: USDA: Weather Damaged Soybeans Eligible For Crop Insurance Claims, by Anna-Lisa Laca, www.agprofessional.com
Related: Crop Quality Hurt by Rains article by ISU's Charles Hurburgh & Alison Robertson
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