Storage on the farm might appear as an investment to be considered in times with a high level of profitability, years that you could "afford" to buy the storage. But, storage for grain on the farm might be an investment you simply cannot "afford" to do without, particularly during the dry years.
Let's discuss how grain storage at the farm can affect your bottom line and help your farm year after year. You can extend your marketing window for grain. In storing your grain, you won't increase your grain's quality however you could improve its value.
If you do not have a storage facility on your farm you are liable to the fluctuations of the market for the day you harvest.
You have to pay the market price every time your truck is driven into the lift. Storing your grain provides you with the opportunity to sell it at the highest price in the market.
The sale of your grains in spring is just one way that will improve profits. Storage of grain on the farm lets you study the market for futures and benefit from the developments.
Achieving a higher profit does not just mean increasing the value of your grains. It is often about decreasing costs. A problem that on-farm storage could improve is slowing down harvesting. When harvesting equipment is slow or stops due to grains trucks have to wait for the elevator, productivity falls.
With only a few favorable harvest days decrease in productivity can lead to quality issues with your grain and higher costs for harvest which can affect your profitability in a major way.