Marketing soybeans presents an even bigger challenge because of a world glut that Hurt expects to continue for the foreseeable future. At harvest, LDPs could be from 60 cents to as much as 90 cents per bushel. However, there is no guarantee prices will rise, so this strategy carries some downside price risk, he said. Returns for on-farm storage are expected to be about 15 to 20 cents per bushel. And those who expect to store beans until next summer should consider putting them under loan.
Soybeans do have upside price opportunity, but they also have large downside risk.
Farmers need to be sure they consider both in their marketing plans.