Completed Project Report


Marketing Risk Management in the Eastern Corn Belt: Basis Education and an Interactive Online Basis Tool for Grain and Oilseed Producers

  • Award Amount: $49,438
  • Regional Center: North Central Extension Risk Management Education Center
  • Grant Program: 2017 Education Projects

Extension RME Regional Centers
Extension Risk Management Education Region Map

Project Overview

Increased price volatility, lower crop prices, and tight operating margins have increased the need for better risk management skills. Although most crop producers are familiar with basis, the relationship between local cash and futures market prices, relatively few understand how to forecast basis and even fewer have access to historical basis data in their market region – 85% of the producers we interacted with did not have access to historical basis data.

This project developed and operationalized the Purdue Center for Commercial Agriculture Crop Basis Tool which provides producers in the eastern Corn Belt access to historical and contemporaneous basis data they can use to analyze trends and develop basis forecasts. Improved ability to forecast basis enabled producers to create more accurate expectations of local cash prices, take advantage of profitable storage opportunities, and identify profitable marketing alternatives beyond traditional market outlets.

Four workshops were held and a webinar was recorded and posted to YouTube to teach producers how to use the Crop Basis Tool to improve their marketing risk management skills. More than 800 producers were reached through these workshops and webinar, and the Crop Basis Tool website garnered over 2,500 visits since January 2018.

Number of Participants: 801

Results

Project Steps

PROMOTIONAL MATERIALS

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EDUCATIONAL MATERIALS

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REPORTS & EVALUATIONS

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DELIVERY AREA

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