New Grain Pricing Structure

The Garden City Co-op is excited to announce changes to our grain pricing policy. Effective May 17th, each elevator will post a unique bid, moving from large geographical basis areas to smaller, more market responsive areas. This expands our pricing structure based on opportunities of local markets. This variation of pricing is not a discount/premium bid structure, rather it is a transparent reflection of current market conditions influenced by market fundamentals such as freight. The basis differences between elevator locations can vary over time. Freight to end markets is a major determinant of this differential. This pricing structure will allow opportunities, at times, for our farmers to capture additional revenue with freight advantages reflected in individual elevator bids. 
With this new pricing structure, new contracts will be written for delivery to specific elevators. Flexibility in harvest time delivery is still extremely important to us. Contract grain delivered to a substitute location will be applied to the contract at the differential at the time the contract was priced. All contracts priced prior to May 17th 2019, will not be affected by this new policy and will be honored under the old buying structure. Fall crops have also transitioned to this new pricing structure as of August 28th.  
If you have any questions, contact your grain originator.