RMA announces price projections for 2014 crop year
The USDA Risk Management Agency announced projected prices for the 2014 crop year to help farmers determine their insurance coverage needs.
“This is the final piece to the puzzle in terms of getting ready to go to their crop insurance agent,” said Dave Paul, director of the agency’s Spokane office, which oversees Alaska, Idaho, Oregon and Washington.
The agency announced projected prices for winter barley at $4.42 per bushel, spring barley at $4.03 per bushel, spring canola at $0.184 per pound, spring rapeseed at $0.233 per pound, corn at $4.62 per bushel, organic corn at $8.97 per bushel and silage corn at $41 per ton. Soybeans are $11.36 per bushel and organic soybeans $19.12 per bushel.
Malting barley in Oregon, Washington and Alaska is 85 cents per bushel, as is winter malting barley in Idaho. Spring malting barley in Idaho is $1.25 per bushel.
The agency announced winter and spring wheat prices last fall, at $6.72 per bushel and $7.54 per bushel, respectively. The spring wheat program now uses the Minneapolis Grain Exchange to set prices, referencing September futures contracts.
Farmers use the prices and their average yield to receive premium quotes for the insurance choices available to them. Paul recommends growers speak with their crop insurance agents.
If a farmer has yield protection and suffers a loss, he receives a payment at the projected price.
If they have revenue protection, the price is multiplied by their average yield and coverage level for a minimum revenue guarantee.
The sales closing date is March 17.
The agency’s dry pea revenue pilot program is entering its second year.
Spring large kabuli chickpeas are 30 cents a pound, small kabuli chickpeas are 20 cents a pound. Spring smooth green and yellow peas are 16 cents a pound, and spring lentils are 22 cents a pound. Paul believes farmers will be fairly happy with the numbers to establish revenue protection.
“There was a lot of interest in these prices coming out,” Paul said. “I think generally, those are prices that are pretty commensurate with where the market is right now.”
The agency added coverage for dry peas and lentils in Idaho’s Boundary County this year, Paul said.
For 2014, the agency increased the maximum coverage level dry pea, lentil and dry bean farmers can purchase from 75 percent to 85 percent.
Producers will report their acres for most commodities by July 15, Paul said.