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Farm News: Farms Build To Help Control Grain Spikes

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Posted: 02.10.2011

With corn and soybean yields continuing to grow around Wisconsin - more and more farmers are expanding their on-farm storage options.

Greg Schultz of Schultz Enterprises in Baraboo says they've stayed pretty busy in December and January talking with farmers about building or expanding existing on-farm storage systems.  In an interview with Pam Jahnke, Schultz says it's just a matter of farmers try to keep control on the highs and lows commodities have been seeing.  "They just want to keep control of that grain until the market gets where they want it.,"  Schultz says.

The type of storage most common around Wisconsin farmsteads are grey, steel bins that can hold corn, soybeans or small grains until the farmer's ready to take it to market.  It's more complex than it may appear from the road.  Schultz tells Jahnke that there's probably 12-14 inches of space under that bin that acts as an air conducting system to try and keep the grain in good condition - free of mold or other toxins.  Just moving the grain inside the bin requires an investment in equipment.

Schultz says as the average crop in Wisconsin grows - so do those bins.  "We try to ask the grower what they're going to be doing in ten years to gauge what they'll need."  Schultz continues that they also work hard to try and marry existing systems with new additions - not always an easy task. "What people are looking at is more capacity.  There was a time when you were looking at 20,000 bushel bin as "BIG" for a farm - now the smallest ones are in the 60-70,000 bushel range."

Schultz says that there also different programs available that may help farmers consider investing in on-farm storage that weren't there before.  Farm Service Agency offices - ag lenders - even equipment vendors, are trying to work with growers to increase their risk management options.

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