Did you have a tough time deciding on the number of acres to plant this season? You’re not alone. This topic was top-of-mind for many growers. We’ve seen many take a conservative stand, especially with the unstable rice prices we’ve had in the past few years. However, we want to assure you, there is no need to fear overplanting for the 2018 season.
“Although things may seem unstable – I like my growers to know that there truly is no need to panic,” says Donny Traynham, Vice President, Paddy Acquisition at Sun Valley Rice. “There are a lot more positives and opportunity than there are negatives, and there are too many factors involved preventing the possibility of overplanting.”
Here’s what growers’ should know for the 2018 season:
1) Preventative planting insurance is the way to go.
This helps in case you were unable to complete planting by June 1, 2018.
2) Water sales help bring down the total rice acres planted in 2018.
Growers in the Oroville water districts had the ability to sell water, which helped them idle ground, generate income from water sale, and keep the total acreage of planted rice down. This will in turn help pricing for the 2018 crop.
3) There’s minimal carryover to worry about.
This year we saw a very minimal carryover, meaning that it won’t negatively affect pricing for the 2018 season.
4) The belief is that pricing will be solid.
Pricing should be profitable for 2018 crop due to less planted acres and minimal carry over.
If you’d like to further discuss the topics mentioned above, please contact our Vice President, Donny Traynham by email or phone at (530) 682-9889. Here’s to a successful growing season!
Posted in:
