Weekly Insights - September 7, 2018

There is a feeling of fall in the air. Silage cutting is going on, or done depending on where you are, with wet corn for feed to follow. I’ve even heard of a little bean harvest going on. And hurricane season has arrived. Even though it doesn’t officially start until the 10th we are on number 2. Fortunately, the US has avoided any bad weather so far which means our energy supply in still intact.

Speaking of energy, I have had conversations with two of my marketers in the last couple days. One remarked that two refineries are, or will be, going down for a turnaround that will last 45-60 days. My other marketer gave a scenario in a meeting that was not pretty. Minnesota has mandated B20 from April 1 – September 30. They drop that to B5 from October 1-March 31. What this means for us…Minnesota customers are waiting until October 1st to fill their diesel tanks in order to avoid B20 going into fall. The suppliers in Minnesota will not be able to keep up and will start crossing the border to terminals in SD and ND. This will effectively lower our supply. Once the “wave” starts, it mushrooms from the center out. The moral of the story is that supply may be a real and present issue this fall.

If you are not on AFD AND consumption bill, I am STRONGLY recommending that if you need diesel to get through harvest to get it laid in sooner rather than later. 
 
Have a safe harvest and thanks for your patronage.

Brian Beck
 
Transport Price Ruby Fieldmaster 7500 gal minimum

Britton Area $2.5028**
Aberdeen/Groton Area $2.4787**
Forman/Gwinner Area $2.5020**
Doland Area $2.5028**

**Please call for exact pricing as prices are subject to change at anytime without notice.

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