Missouri Farm/Agribusiness Management Network Newsletter June 2000 Volume 1.3

About This Newsletter

Ag Update

INVITED PAPER
BANKING
MARKETING AND RISK MANAGEMENT
BIOTECHNOLOGY
GENERAL MANAGEMENT
COST OF PRODUCTION
SPECIAL TOPICS (UPDATED ANNUALLY)
IN THE UPCOMING AUGUST 2000 NEWSLETTER

INVITED PAPER

• This manuscript summarizes a spring 1999 survey of agricultural producers pertaining to their perceptions of risk management issues, sources of information, insurance, and use of risk management tools. The survey was conducted for the states of Mississippi, Indiana, Nebraska, and Texas. The primary authors on this manuscript are Keith Coble, Mississippi State; George Patrick, Purdue; Thomas Knight, Texas A&M; and Alan Baquet, Nebraska. This write-up would be most useful to persons interested in determining delivery methods of risk management programming and educational materials materials.
  Risk Survey

BANKING

• This paper outlines trends in fixed and variable lending rates for agriculture borrowing. The data were available from the Minneapolis Federal Reserve Bank.
  Agriculture Lending Rates note, lending rates have not been updated since 11/99
  contact: Joe Parcell

MARKETING AND RISK MANAGEMENT

• Bill Tierney's Marketing Outlook for Soybean, Corn, and Wheat. Dr. Tierney is a KSU Extension Crops Outlook Economist who authors numerous weekly and monthly Extension Publications on Crop Outlook. This link takes you directly to Bill's Risk Management web site. (Crop Risk Management and Outlook)

• Texas A&M University and Kansas State University entered into a joint venture three years ago to build Extension risk management programming materials. This link is to the publications derived from this relationship. The entire lot of information is available as a notebook for a fee; however, you can access all risk management articles directly from this web site for free. (Risk Management Handbook)

NEW

• This paper summarizes some potential marketing strategies originating from the presence of the LDP program in Missouri. Specifically, it is evaluated whether there is evidence to suggest above or below expected loan rate prices could be obtained from simultaneously taking the LDP and marketing corn or soybean.
  LDP and Marketing Havoc
  contact: Joe Parcell

NEW

• This link provides access to historical and current crop basis in Missouri. This project was funded jointly by the Missouri Soybean Merchandising Council and the Department of Agricultural Economics. Data for soybean and corn basis for nearly 60 locations in Missouri is available on this web site. There are some locations that are not complete at this time. We are in the process of updating this data and completing the historical data tables. As this is the first public release of this information, please feel free to e-mail should you find any discrepancies in the data. With all this information it may take some time to work out all of the snags. Jointly involved with the collection and presentation of this data were Joe Parcell, Melvin Brees, and Ray Massey.
  Missouri Crop Basis on the Internet
  contact: Joe Parcell

BIOTECHNOLOGY

GENERAL MANAGEMENT

• This short article summarizes trends in agricultural prices paid and prices received. Specifically, one can see how the current situation compares to historical levels.
  Agricultural Prices Paid and Prices Received
  contact: Joe Parcell

NEW

• This paper summarizes the factors causing the 1998 live hog price decline. Specifically, the factors of head processed, capacity of the industry, cold storage stocks, and dressed weight are evaluated.
  Factors Affecting the 1998 Live Hog Price Decline
  contact: Joe Parcell

COST OF PRODUCTION

• This document is created at Kansas State University as part of the Department of Agriculture Economics Monthly Ag Update publication. Dr. Rodney Jones, KSU Livestock Farm Management Specialist, provides historical returns to feeding out cattle, projected breakeven costs for feeding out cattle, and sensitivity analysis of breakeven costs relative to cost of gain and purchase price. Retained Ownership Opportunities

• Dr. John Lawrence, Extension Livestock Economist in the Department of Economics at Iowa State University, provides a monthly update of profitability in the livestock sector. Particular interest here is the historical and projected returns for farrow-to-finish, feeder-pig production, and feeder-pig finishing.
  Iowa Swine Cost of Production Projections and Historical Returns

SPECIAL TOPICS (UPDATED ANNUALLY)

• This document summarizes historical trends in Missouri cattle production and comparisons are made between Missouri and national average cattle performance.
  Cattle Trends
  contact: Joe Parcell

IN THE UPCOMING August 2000 NEWSLETTER

• County historical production & production risk trends
• GMO Update
• Producer and extension economist perceptions of marketing strategies
• The impact on Missouri Soybean and Corn Basis from the LDP program
• Missouri Retained Ownership Alternatives (hopefully)

This site is maintained by Joe Parcell, Assistant Professor & Extension Economist, Department of Agriculture Economics, University of Missouri. To contact Joe or request to be added to the e-mail list that announces the availability of this newsletter, call 573-882-6533, or e-mail

The information presented in this publication is intended to help persons make better management decisions, which could impact profitability. The Department of Agricultural Economics, Commercial Agriculture Program, University Outreach and Extension, or College of Food Agriculture and Natural Resources does not accept responsibility for decisions made that negatively impact individual profitability.