Posting a basis offer is similar to cash deals with a few simple tweaks to the process.
The following is a 10-step guide to listing a basis deal.

  1. Sign into FarmLead.com and select “Post New Offer” at the top of the page.
  2. Select type of offer, Firm, Negotiable, or No Price.
  3. Select your Grain Type. If you select a grain that does not have a futures market associated with it (i.e. malt barley), then you cannot post a basis deal. Only canola, corn, oats, soybeans, and wheat - crops that have a futures market - can support basis contracts on FarmLead.
  4. Select your contract type. You have two options: A Cash contract or a Basis contract. 
  5. List the Grade, Crop Year, and Special Quality Characteristics (if any).
  6. Click “Next” to determine your Freight and Delivery options, including the Delivered or Pick-Up location,  Movement Year and Period you are looking to have the grain moved.

The next section is the most important for basis contracts. 

  1. If the user has selected a Canadian delivery location, they’ll have the option of choosing a basis type: either Default or Currency. A default basis is calculated  using the absolute value of the futures value. A currency basis is calculated using the futures market value multiplied by the exchange rate between the country the futures market is in and that of which you’re dealing grain in. 
  2. Select the Futures Contract on which you are setting your basis against local cash prices. The field will automatically provide the latest futures price from our data feeds in Chicago, Kansas City, Minneapolis, or Winnipeg (dependent on the commodity).
  3. In the next field, you will enter your Basis. This can be a positive or negative number.
  4. You will then enter the Quantity of grain you’re looking to contract. After you enter your basis, the fields below your Quantity will automatically calculate the Implied Cash Price and Total Deal Value of the grain you want to contract.
  5. Finally, select your Payment Terms. You have a series of options, including “Payment Upon Delivery” or within a series of days.

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