TN Valley Commodities offers a wide range of forward market and cash-based grain contracts to fit your marketing plan. Whatever you need, you’ll find it here.
Spot grain contracts are the most traditional grain marketing tool and a quick way to unload grain and get paid. You select a specific bid, at a specific location, at a specific day and time. You are paid cash upon delivery of your grain.
Forward contract allows you to secure a cash price for grain that has not yet been delivered. By doing so, it helps you eliminate downside price risk and improves your ability to plan.
If you feel there is a potential for future prices to improve, but basis levels may get worse, a Basis grain contract allows you to lock in only the basis portion of a cash contract for a specific delivery period. With the basis set, you can wait until a later date to set the futures reference pricing portion of your cash contract.
The Hedge-to-Arrive (HTA) grain contract offers you the choice to lock in only the futures reference price portion of your cash contract for a specific delivery time and quantity. The basis can be set at a later date, but must be done prior to delivery. It’s one of many contract options that allow you to actively manage price risk.
If you want more control of your marketing in a volatile market, a minimum price contract gives a hands-on approach with downside protection. With the Minimum Price grain contract, we’ll work with you to develop a customized risk management plan using option-based scenarios to help you achieve price targets while protecting unacceptable price risk. With the plan in hand, you make the final pricing decisions on your grain throughout the season.