Grain

CHS Pro Advantage
The CHS Pro Advantage contract allows producers to diversify their marketing while taking the emotion out of selling. It’s a way to take advantage of professional pricing for a portion of their crops using trading experts with a track record of success based on deep market intelligence – especially during times of volatile or low-priced commodity markets.

Price Builder Bonus
Want to forward contract grain well above today’s current market price? Check out a Price Builder Bonus contract and find out how you can sell grain for $0.30-0.70 or more higher than current prices.

Cash Plus
Want a premium for your cash grain? Adding a Cash Plus Contract is a great way to get more out of your old crop sale. Check it out for more details.

Daily Price Plus
The daily price plus contract is a marketing tool that prices equal quantities daily at the “Plus Price” above current market on day one. The daily price plus contract is for the producer that wants a premium above today’s price with the security of a guaranteed floor, and is willing to sell additional production.

An agreement that establishes a fixed price. Chicago Board of Trade plus or minus the local basis, for a specified amount of grain to be delivered to a named location during an agreed upon delivery period. The delivery period cannot exceed 18 months from the contract date.

An agreement that establishes basis, which is the difference between the Chicago Board of Trade and the local cash grain price, for a specific amount of grain for any delivery period and location. The basis is the only fixed portion of the price. A maximum 80% of the current cash price can be advanced after delivery of the bushels. Farmers may be required to pay back advance to maintain 80% of contract value. A $.02 fee is charged to roll the contract. Final pricing must be completed prior to an agreed upon expiration date.

An agreement that establishes the Chicago Board of Trade price for a specified amount of grain to be delivered to a named location during a specific delivery period. The delivery period cannot exceed 18 months from the contract date. The futures price is the only fixed portion of the price. A service fee of $.04 is charged to write the contract and comes off the initial futures price. A $.02 fee is charged to roll the contract. Final pricing must be completed prior to an agreed upon expiration date or at the time of delivery, which ever occurs first.

An agreement that establishes a minimum price for a specified amount of grain to be delivered to a named location during an agreed upon delivery period. A call option is purchased and deducted from the contract price. Contracts must be written in 5,000 bushel increments. A $.03 service fee will be deducted from the contract price. The minimum price can be advanced once the grain is delivered.

Customer sets a target price that if hit will result in a fixed price contract or a pricing for delayed price bushels, basis contract or HTA. If the target is hit the contract is written or delayed price bushels are settled.

Grain can be delivered to the elevator with title passing to Mercer Landmark. Customers can price the grain at the current market price, at a later date, or roll to a nearby basis contract. Bushels cannot be sold for a deferred price (ex. January price). Grain sold within 10 days will not be charged delayed price charges. Delayed price cannot be rolled to open storage or grain bank.

Grain is delivered to the elevator and title remains with the customer. Bushels can be sold for current cash price or used to fill deferred contracts at the given delivery point. Grain sold within 10 days will not be charged open storage charges. An $.08 load out fee will be charged on bushels that are loaded out of the elevator.

Bushels delivered for cash/spot sale will receive the closing price on the day the grain is delivered.

Customer may elect to defer payment for grain delivered against contracts, bushels priced from dp/open storage and spot sales. Interest will not be paid on deferred payment contracts.

Grain Bank is only available for customers of the feed division. Title of the grain remains with the customer. Storage charges apply to bushels remaining on grain bank at the end of each month.