Before we know it the harsh winter cold will be gone, and we
will be making the transition into spring.
The coming of spring brings a multitude of decisions such as which crop
to plant, how many acres to plant, and which crops will be most profitable.
Fortunately, you can feel more confident
about your decisions by using the Profit Manger feature in
Growers Edge.
With Profit Manager you can enter a crop, your input costs
and calculate your breakeven price before your planter even touches the fields. Profit Manager also allows you to establish
profit goals for your crops. Once you are
ready to sell your bushels, Profit Manager can help you identify where to get
the best price for your bushels depending on your location, trucking and
storage costs, and daily market changes.
Today, we will focus on adding a crop for 2014 and
identifying your breakeven price so that you can make more educated planting
decisions, and get the most profit out of your crops in 2014.
Now sit back, relax, and let Profit Manager do the work for
you based on actual data instead of a “best guess.”
Adding A Crop
The first step towards a more profitable 2014 would be to
determine your profit potential for the crops that you intend to plant. This allows you to see which crop brings you
the most bang for your buck before ever putting a seed in the ground. To get started click on the Profit Manger tab
on your home screen.
You will need to add the crop that you are considering
planting this year so click on Add New Crop.
You will now see the Add New Crop menu.
This is where you choose which crop you intend to plant, when it will be
harvested, and the amount of acres you intend to plant along with your expected
yield per acre. In this example we will
be taking a look at corn to be harvested in October 2014.
Near the bottom of the Add New Crop menu you can enter your
expected cost per acre and your desired profit goal per acre. If you would like to itemize your input
costs you can click on the Cost Calculator to get more specific. The cost calculator will automatically
calculate your total cost per acre. You
will notice that Profit Manager will also automatically calculate your profit
goal per bushel for you based on the data you entered.
After all of your data is entered, click Create in the
bottom right corner.
Viewing Your Production Summary
You should now be looking at the production summary
table. This table gives you a nice
overview of where you can deliver to get the best price for your bushels based
on your input, trucking, and storage costs.
The table compares your best price to your local price.
On the top row of the table you will see your best price,
its location, and how it compares to your local price, and breakeven price. In the example, the best price is at Flint
Hills Resources in Menlo, Iowa. You will
see that the current basis for Flint Hills is -$.25, the cash price is $4.22,
and my delivery cost is $.17. This provides
a net price of $4.05, which is $.07 better than the local price and $2.91
better than the breakeven price.
On the bottom row of the table you will see local price
information. This row shows all of the
same items as the row above it. At the
end of this row you will see a written summary about your best course of action
based on your data.
This crop will now be saved in your password protected Growers
Edge account for you to look at and edit throughout the year. You can add and save your other crops as
well. All of the data within Profit
Manager is securely protected and is for your use only.
That’s all it takes.
This is an easy data-driven way to determine the most profitable crop
for you in 2014. Play around with it in
the winter months before planting season.
Give us any thoughts or questions via Twitter@Growers_Edge. Stay tuned in the coming weeks as we profile
other helpful ways to utilize Profit Manager.
