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Grain Storage Issues

Grain Storage Issues. Future Storage Needs ?. Who Builds New Storage?. Commercial Grain Companies Land Owner Renter. Commercial Storage. Bigger Bins = Cheaper per bushel cost Drying & Handling Equipment already in place Manpower to handle the crop Assume quality risk

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Grain Storage Issues

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  1. Grain Storage Issues

  2. Future Storage Needs ?

  3. Who Builds New Storage? Commercial Grain Companies Land Owner Renter

  4. Commercial Storage • Bigger Bins = Cheaper per bushel cost • Drying & Handling Equipment already in place • Manpower to handle the crop • Assume quality risk • Eliminates reloading from farm bin Saves labor & handling shrink • Eliminates over-drying cost & shrink

  5. Commercial Storage • Instant payment after grain sale • End users need steady grain flow • Normally trade large lots • Able to deliver large volume in short time • Commercials trade basis not price

  6. Land Owner • On-Farm storage is convenient at harvest • Tax savings • More flexible marketing options • Saves storage cost • Saves some drying cost ? • Who checks the bin when they go south

  7. Land Owner • Double handling • Quality risk • Most farm storage can’t handle wet crop • Equipment maintenance • Property tax & insurance • Have to move grain to get paid • Would renter use the storage • Why invest, I’m retiring

  8. Renter • Many farm on large scale • Haul with semi’s • Most interested in speed • Typically sell more grain ahead of harvest • Don’t want to check multiple bins over winter • Won’t invest in facilities on rented land

  9. Grain In StorageQuality Issues • Soybeans harvested well over 13% moisture • Lots of bean storage with little or no air • Low oil yield • Low protein soybean meal • High moisture soybean meal

  10. Grain In StorageQuality Issues • Corn Harvested 25% - 35% moisture • Should be dried twice • Inadequate air on most farm storage to handle corn crop this wet • Mycotoxins • Low test weight • Excessive kernel breakage • Protein – Starch- Amino Acids

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