With the right risk management tools at work for you, there are times you might just be able to have your cake and eat it, too.
Taking advantage of a relatively low-cost option on a futures contract, for example, a farmer can guarantee himself a minimum price. If prices go up, the farmer makes a high profit: if prices slip, the farmer makes a more modest profit - but a profit all the same.
There are a wide range of risk management tools that farmers should be comfortable enough with to consider them 'tricks of the trade'. It can be a steep learning curve, however, when growers try to educate themselves on what is available.
Now the N.C. Department of Agriculture and Consumer Services (NCDA) can help. From now through March, NCDA is offering a series of risk management workshops across the state. Risk management experts will discuss principles like grain hedging, cotton futures and options trading on futures, basis trading, cost of carry and more.
Best of all, the workshops, to be held in all locations from 10 a.m. - 3 p.m., are free.
Following is a list of the workshops that are currently scheduled:
- Jan. 18, 2005, Columbus County Extension Office, Whiteville, (910) 640-6605.
- Jan. 20, Sampson Community College, Clinton, (910) 592-8081
- Jan. 21, Robeson County Agriculture Building, Lumberton, (910) 671-3276
- Jan. 26, Wayne Community College, Dogwood Building, Goldsboro, (919) 735-5151
- Jan. 28, Lenoir County Extension Office, Kinston, (252) 527-2191
- Feb. 9, Pitt Community College, Greenville, (252) 321-4200
- Feb. 11, Halifax Community College, Weldon, (252) 536-7226
- Feb. 15, Vernon G. James Research Station, Plymouth, (252) 793-4428
- Feb. 16, College of Albemarle, Small Business Center, Elizabeth City, (252) 335-0821
- March 1, Stanly Community College, Locust, (704) 888-8848
- March 3, Mitchell Community College, Statesville, (704) 878-3200
For more information, contact Nick Lassiter, NCDA marketing specialist, at (919) 733-7887.