The Economics of On-Farm Storage

The interest in grain storage in Kansas and other states has escalated recently. This interest can be attributed to increased yields due to improved technology and genetics, wide basis levels at harvest, and a shift to more corn acres due to the growing number of ethanol plants being constructed.

More specifically, corn generally has higher yields than other competing grain crops, requiring more storage room, or otherwise replaces crops not dependent on conventional storage, for example, cotton or alfalfa. The rising demand for storage has led to grain being stored in temporary structures, the leasing of old facilities, and a renewed interest in the construction of new storage structures.
Source: AgManager

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