It will be simply based on going rates. Prices are volatile yes but not so volatile they drastically change week by week. Maybe 100-200$ a kilo up or down. But it simply goes into our inventory and is sold through the same avenues. So we are obviously incentivized to get the best possible pricing.
Anything else will be between me and the farmer.
I already have 3 farmers in discussion right now. Risk is relative
Well said black and I don’t understand why farmers don’t somehow you need to work together create their own processing plant/ CO _op. either by district or they have those broken up . Idk
I don’t appreciate someone sitting in a washed out bridge with a barge saying only a small pole to go to Riverwalk Rv pay taxes for that bridge to have access to that road that we get pharmacy away by Carrie so this far and gets to keep working and he should be getting to fix up his house replace his siding put it in your van get a new truck pay for the wife’s surgery the kids wedding it shouldn’t be the toll man almost getting 1/3… he took no risk he didn’t have the sleepless night because of the drought or the rain or the pests or anything I mean that right there is enough for me to not want to go to the tollman till demand is higher than beginning in mid end of harvest otherwise it isn’t worth it and they act like if they’re doing you a favor your doing you a favor by making money off the farmers hard work which to me is like a parasite feeding for free… doing nothing really to help the host but says hey I’m here to make sure you aren’t overstocked on blood, bad analogy. Very similar in my opinion I’m not meaning to offend in my mind I’m just not being politically politically correct and I’m just being upfront and straightforward calling Madrona Trio Madrone tree not a rosebush, I heard the battery is almost dead on my iPad I’m not gonna sit here and re-correct and re-correct with the devices in properly scribing for me that’s why it’s best for me not to talk cheers everyone have a merry Christmas and a good new year
Obviously us ruining their material would be covered in the agreement… I mean that’s just common sense. Going back to killas comments.
Farmer doesn’t pay us 75,000 up front… not sure where y’all are getting all your assumptions from.
And you forget that labs are backed up for months… farmers don’t know where to sell their product…
that we are charging market value prices for our services…
It’s simply all the services at one stop instead of going to one lab to take it to disti, another lab to take it to t free, then to a broker to sell it.
That’s what they’re going to end up paying to get their oil sold anyways but having to use multiple entities.
On top of all of that even if it’s 25,000 per 1000 pounds for their costs that’s 25.000-30,000 per thousand pounds of profit. That’s like getting 25 to 30$ a pound if they’re selling their biomass. Without having to do anything
Ya it’s simple and it creates an answer for the farmers who are sitting on way to much biomass. Thanks glad to see someone else has already made this work. Just a bunch of haters not quite grasping the concept