Grain Hedging Strategies
Protect your crop revenue with forward contract hedging for corn, soybeans, wheat, and cotton. No futures. No margin calls.
Why Forward Contracts for Grain Hedging?
Most grain producers are naturally bullish — you have to be, because you take enormous risk every season. Our forward contract hedging program respects that psychology while helping you lock in enough certainty to sleep at night.
Unlike futures hedging, which requires margin accounts, daily settlement, and constant monitoring, our Scale-In hedge program uses forward contracts. You know your price. You know your delivery. And you are not waking up to margin calls if the market moves against you.
Over 40 years, we have helped Midwest grain producers protect revenue through every market cycle — droughts, surpluses, trade wars, and everything in between.
Call 317-848-8050 to Discuss Your Crop
Corn Hedge Strategies
Corn is the backbone of Midwest agriculture — and one of the most volatile commodities in the world. Our corn hedge strategies are designed for producers who need revenue certainty without sacrificing upside potential.
For Corn Producers
Lock in a minimum price for your expected yield while preserving the ability to capture higher prices if the market rallies. Our forward contract approach means no margin calls and no daily settlement stress.
- Pre-planting price protection
- Scale-in strategies as the crop develops
- Harvest-time delivery coordination
- Basis management and local elevator coordination
For Corn End Users
Feed mills, ethanol producers, and food manufacturers face input cost volatility. Our corn hedge strategies for end users protect against price spikes while allowing you to benefit from price declines.
- Input cost budgeting certainty
- Forward purchase contracts
- Inventory value protection
- Multi-month coverage programs
Soybean Hedge Strategies
Soybeans offer unique hedging challenges due to their dual-product nature — the bean, the meal, and the oil all move differently. Our soybean hedge strategies account for crush spreads and product demand cycles.
Soybean Hedge Strategies
Protect your soybean revenue with forward contracts tailored to your planting schedule and expected yield. We account for South American production cycles, Chinese import demand, and domestic crush capacity.
Soybean Meal Hedge Strategies
For livestock producers and feed manufacturers, soybean meal is a critical input. Our meal hedging programs protect against protein cost spikes while maintaining flexibility in formulation.
Soybean Oil Hedge Strategies
Food manufacturers and biodiesel producers face unique oil price exposure. Our oil hedging strategies account for the growing renewable diesel demand and its impact on vegetable oil markets.
Crush Spread Management
For processors, the crush spread is where profit lives or dies. We help you hedge the margin between soybeans and their products, protecting processing profitability through volatile markets.
Wheat Hedge Strategies
Wheat markets span three distinct regions — Chicago, Minneapolis, and Kansas City — each with different quality premiums and delivery logistics. Our wheat hedge strategies account for these regional differences.
Chicago Wheat
Soft red winter wheat hedging for producers in the Eastern Corn Belt. Our strategies account for export demand, domestic milling needs, and seasonal harvest pressure.
Minneapolis Wheat
Hard red spring wheat hedging for Northern Plains producers. Premium quality wheat requires premium hedging strategies that account for protein premiums and specialty milling demand.
Kansas City Wheat
Hard red winter wheat hedging for Central Plains producers. Our strategies account for the unique export dynamics and domestic bread flour demand that drive KC wheat premiums.
Cotton Hedge Strategies
Cotton is a global commodity with exposure to textile demand, currency fluctuations, and weather events across multiple continents. Our cotton hedge strategies help producers navigate this complexity with forward contract protection.
Cotton Price Protection
We assist with forward contracts for cotton producers, helping you lock in prices before planting or during the growing season. Our strategies account for the unique timing of cotton harvest and ginning schedules.
We very selectively advise to store cotton when market conditions support it — typically when basis is weak and futures carry is favorable. This selective approach has helped our cotton clients capture significant premiums over the years.
Discuss Cotton Hedging with Lannie
Grain Hedging FAQ
Common questions from grain producers about our forward contract hedge program.
How do I hedge corn prices as a producer?
Our corn hedge strategies use forward contracts to lock in a minimum price for your crop while preserving the ability to capture higher prices if the market rallies. We design custom strategies based on your planting schedule, expected yield, and cash flow needs.
Can I hedge soybeans without using futures?
Yes. Our proprietary Scale-In hedge program uses forward contracts, not futures. This means no margin calls, no daily settlement, and no futures account required. We assist with forward contracts for soybean producers and end users.
When is the best time to hedge wheat?
The best time to hedge depends on your specific situation — your planting schedule, storage capacity, cash flow needs, and market outlook. Lannie will work with you to identify the optimal timing for your operation, not a generic calendar date.
Do you advise storing grain instead of hedging?
We very selectively advise to store grains or cotton when market conditions support it — typically when basis is weak, carry is favorable, and storage costs are covered by the market structure. This is not a default recommendation; it is a tactical decision made with Lannie's 40+ years of market judgment.
Protect Your Crop Revenue This Season
Call Lannie Cohen at 317-848-8050 to discuss a custom grain hedging strategy for your operation.