@article{Stringer:190691,
      recid = {190691},
      author = {Stringer, Chris and Sanders, Dwight},
      title = {Forward Contracting Costs for Illinois Corn and Soybeans:  Implications for Producer Pricing Strategies},
      journal = {Journal of the ASFMRA (American Society of Farm Managers  and Rural Appraisers)},
      address = {2006},
      number = {387-2016-22848},
      pages = {8},
      year = {2006},
      abstract = {The implied costs of forward
contracting Illinois corn  and
soybean prices at planting-time
are estimated. Thirty  years of
basis data are collected for
seven regions in  Illinois.
Forward basis quotes are
collected at  planting-time (May)
and actual basis levels are
recorded at  harvest time
(October). Costs embedded in
the forward basis  quote are
estimated and the implications
for producer  marketing
strategies are examined. The
results suggest that  elevators'
embedded premium-producers'
cost of forward  contracting-are
rather small, especially for corn.
Forward  contracting costs vary
significantly across the  state.
Implications for producer risk
management strategies  are
explored.},
      url = {http://ageconsearch.umn.edu/record/190691},
      doi = {https://doi.org/10.22004/ag.econ.190691},
}