Cash Forward Contract:
The farmer will price grain for a future delivery at a price agreed upon for that time period.
HTA or Futures Only Contract:
The farmer will set the futures price for delivery within the crop year that the crop is grown, but he has left the basis open and is priced anytime up to time of delivery.
The farmer will set the basis for delivery period in which the crop will be delivered but he has left the futures price open.
Minimum Price Contract:
The minimum price is set and this allows the farmer to capture any increase in price if the market does appreciate in value over the minimum price.
Min/Max Price Contract:
The same as a minimum price contract, but the farmer will set a maximum price for that grain also. This will allow the farmer to raise his minimum price.
Click here for information about INSIGHT
For more information about how grain contracts can work for your business, contact us today. Click here to search our staff contact page and find a DeLong grain advisor to help your business grow.