Ask FarmLink – Navigating the Learning Curve of Wheat Hedging

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The new marketing environment around wheat in Western Canada offers producers a much greater level of involvement than they’ve ever had when it comes to managing price risk. Should producers choose to step out of the contract environment provided by their local grain companies and buyers and go directly to the futures and options market themselves, they can find themselves up against a pretty steep learning curve. In some instances that may not be the best option, but at other times it can be an effective way to manage price risk. In any case it takes time and experience to develop that level of discernment.

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In this episode of Ask FarmLink, Jon Driedger talks about some of the keys factors like “basis” that are critical in navigating the learning curve around wheat hedging.

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