Expanding your marketing options for your crop during a trade dispute
As farmers head out into the field to get a start on planting their crops, the uncertainty of what options there will be to sell their canola is in the air.
The uncertainty comes as the Canada – China trade war continues, however, there are things producers can do to make sure it does not affect their bottom-line.
Vice President of Strategy and Business Development for Ag Exchange Group, Mike Witkowicz says the situation has limited marketing options, making communication more important than ever.
“With the current situation with China and how it can affect current day marketing is your options as a grower become limited to domestic crush or any domestic or North American business that is being done, aside from new markets being accessed, but the new markets being accessed, don’t just turn on with a flip of the switch,” says Witkowicz.
He says it’s important for farmers to draw up a plan and start diversifying buyers.
“So expanding your network of buyers so you can access the best way to do it. Now we at Ag Exchange have the CXN360 service, which really helps growers access more buyers in a more efficient way and that’s one opportunity that’s there, but regardless of our system, growers need to diversify their marketing plan and look beyond the way it has always been done in the last few years.”
He says they are hearing a lot of feedback from their buyers about the situation, which has given them some insight..
“Our current buyers are looking for opportunities that they have and their opportunities will always be niche opportunities. So they’ll find opportunities internationally as well as within continental North America, however like the entire industry they are always looking at more opportunities to exist too.”
Recapping, Witkowicz says it’s important for farmers to diversify their buyers and start conversations with them now to avoid problems when it comes time to sell their canola.