Stewart noted that lenders indicated the following were either “major barriers” or “somewhat barriers” to marketing performance:
- Knowing how various marketing tools work
- Producers wanting the top price all the time and losing confidence if a strategy does not produce the top price
- Knowing how to apply various marketing strategies with specific risk management/cash flow needs of the operation
- Maintaining the time and discipline to do marketing well.
What this survey ultimately reveals, Stewart said, is the positive impact that consistent and disciplined commodity marketing has on a farm operation from the lender’s point of view. “In today’s credit-crunched industry, that is a key management differential,” Stewart pointed out.
“The survey reveals an industry need,” Stewart said. “Producers have conquered just about every management challenge in agricultural production. Consistent and disciplined marketing is the last management frontier to explore and conquer.”