Planning for Profits

Dec 02, 2021


Corn

Know your Cost of Production

With the 2021 season behind us our thoughts have turned to planning for 2022. Many of you started that thinking process during harvest and decided to buy/book and apply fall fertilizer. In general, fertilizer prices have remained strong throughout the fall with potentially more upside. Some supply concerns have made the news as well. We have worked hard with our suppliers to secure fertilizer tons for the remainder of the fall application season and to fill and re-fill our bins for spring application. Premier’s storage capacity is one of the largest in the area which helps lessen our dependence on shipments in the spring. Working with your local agronomist to plan your needs for spring will help us forecast product amounts and timing of those tons for application in the spring.

With the cards we have been dealt going into 2022, it is very important to KNOW YOUR COST OF PRODUCTION and find a commodity price that locks profit in. The simplest rules of economics are the ones that stand the test of time. The one I’m thinking of is “it’s hard to go broke making money.” Things to be considered to that statement are your combined input expenses such as: starter fertilizer, corrective fertilizer, seed, soil testing, fertilizer services (spreading, etc), scouting, weed control, insect control, fungus control, fuel, lubrication and energy costs, labor costs, repair/maintenance costs, land rents/ownership costs and interest and depreciation costs. When all these costs are calculated per acre, you have your cost of production. If that can be divided by an average yield and the price per bushel is less than what you can contract for, it makes sense to look at purchasing inputs at the current prices and lock in a bit of the output. Budgeting and knowing your costs will be extremely important in the farming game for 2022. The agronomy sales staff have several examples of budgets available for people to look at and would be happy to walk people through them with you.

 

Ken Jahnke

Sales Manager

 
 

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Mar 03,2023
With spring just around the corner, your cooperative is gearing up for another one of our seasonal rushes…spring planting season. Not only will we see our total employee count peak for the year, but nearly every asset in the company will be in use. While many businesses have equipment and buildings that are in use all year long, our grain and agronomy divisions have millions of dollars invested in some assets that only get used for a few months out of the year. It is critical that these assets are fully operational and ready to go when the season starts. Our agronomy operations team has spent the winter months going through all the equipment to make sure it's in good working order, unwrapping and greasing up the new sprayers, trucks and other equipment we’ve purchased this year, updating technology and precision tools on existing equipment, and conducting hours of training on its use and safety. 

In addition, the crop advisors and admin staff have been putting the finishing touches on crop plans and seed orders, wrapping up input financing and nutrient management plans, hiring and training new staff including college interns to help scout fields, and maybe taking a little time away to get rested for what is sure to be long days and short nights ahead. If you’re still looking to finalize plans for this planting season, please don’t hesitate to reach out to one of our highly trained crop advisors.

Gearing up for spring is not only about the equipment, but also the additional staff needed to provide the products and services our members rely on to help feed the world. Each year we try to fill about 100 full and part time positions at our eleven agronomy locations. These positions can last from six weeks up to eight months. Most seasonal positions involve delivering product to our members or directly to fields to keep our custom application machines running smoothly. If you or someone you know is interested in seasonal or year-round employment, please contact Shayla at our Mt Horeb office or stop by one of the agronomy locations. The hours can be flexible and available up to seven days a week. If agronomy work isn’t for you, ask about openings at any of our other locations including retail associates, plant operations, truck drivers, administrative professionals and more. Premier is always looking to add quality people to our team.

Thank you for your continued support of Premier Cooperative and its staff. Have a great month and stay safe!
Mar 03,2023
Cattle nutrient requirements can vary by season and stage of production. Now is a great time to evaluate your cattle mineral programs and map out a plan to maximize impact.

While minerals are a relatively small portion of the diet, they control many vital functions in cattle and impact everything from cattle reproduction to feed efficiency and overall herd health. That's why it’s so important to make sure the mineral needs of your cattle are being met year-round.
Mar 03,2023
I know many of you have plans in place for a spring burndown herbicide application. If not, here are a few reasons for you to get in contact with your Premier agronomist to do so. Spring burndown applications typically target winter annuals and perennial grasses that overwinter and resume growing as soon as temperatures warm in the spring.  As they get going in the field they immediately begin stealing water and nutrients from the soil, and can create planting challenges. With the onset of resistant weeds like waterhemp, and standby challenges like giant ragweed, it is a best practice recommendation to add a strong residual herbicide to your preplant spring burndown application.  Doing so helps keep populations down and gets ahead of your first early post application. Here are some tips for establishing clean fields that give your crop a strong start.