It’s time to switch

I have finally pulled the trigger and it is time to switch in all the Ontario corn growing area’s except maybe Essex County to a hybrid that is 100 – 150 CHU less than your normal maturity that you would plant. With the recent wet weather please work with your corn supplier to get the required seed to your farm. Be aware as this may take a couple of days as we are moving seed all over Quebec and Ontario to make sure you have the best seed option for your farm and situation.

Is it time to drop corn and switch to soybeans? This depends on each individual situation but you need to think about the following:
1) Do I have enough corn at 75% of expected yield to meet your delivery contracts this fall?
2) Do you need the production for feed?
3) Is the current fall delivery price worth the risk of reduced yields?
4) Herbicide or fertilizer is applied for Corn?
5) Do not want to risk changing my rotation?

Do you have other reasons to continue to plant corn, please include in the comments.

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CDN Dollar playing with basis again

CDN dollar at par talk with the US again. Not good news for the Canadian (CDN) farmer as this has a big effect on basis, perceived or not. Theoretically the strength/ weakness of the Canadian dollar (exchange rate) makes up part of the basis. Right now basis in Ontario is sitting at anywhere from 35 to 45 cents over for new crop corn and 5 to 15 cents over for soys.  Old crop basis on both crops  is still very good most likely attributed to demand (another part that makes up the basis).  A high demand maybe the only hope we have of keeping basis positive until fall harvest after that it could be in a free fall.  Last year there was huge debate whether basis was a true reflection of what it should off been.  Many producers were discouraged and thought the grain trade was keeping the basis artificially low.  The only saving grace to the lower basis was the high future prices.  I am not sure CBOT is going to help us as much this year.  Thoughts?

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