The highest posted grain bid does not always leave the most money at your farm. Compare the same delivery period, grain specifications and payment terms, then subtract the costs of getting grain to each buyer. This guide provides a simple worksheet for comparing corn and soybean bids.
Start with a comparable bid
Ask each elevator, processor or other buyer for a current bid for your commodity and delivery window. Confirm when the bid was quoted and whether it is still available before making a commitment. A bid for delivery this week is different from an offer for delivery several months from now.
Record the location, delivery dates, quality requirements, receiving hours, payment timing and applicable charges. An extra few cents on the bid may be offset by a longer haul or different deductions. Ask the buyer to explain any terms you do not understand.
Separate futures, basis and cash price
Basis is the difference between a local cash bid and the relevant futures price. It helps explain why buyers offer different prices even when they use the same futures market. The University of Wisconsin–Madison Extension basis guide explains this relationship. Compare bids using the same futures reference and delivery period. A stronger basis at one buyer is useful information, but your net return still depends on the terms and costs.
For more background, read our corn basis explanation.
A hypothetical comparison
Suppose Buyer A offers $4.20 per bushel and the costs you have assigned to that delivery are $0.12 per bushel. Buyer B offers $4.25, with delivery costs of $0.20. The simplified net comparisons are $4.08 for A and $4.05 for B. In this example, the lower posted bid leaves three cents more per bushel after those costs.
These are made-up figures, not current bids or estimates of typical hauling costs. Use your own costs and include all relevant deductions. If moisture, quality, shrink or settlement terms differ, resolve those differences before comparing the offers.
Build a bid comparison worksheet
- Write down the buyer, location, quote time and delivery window.
- Record the cash bid and any basis and futures reference provided.
- Estimate hauling, handling and other costs for that delivery.
- Ask about moisture, quality, shrink and other settlement deductions.
- Compare the estimated net proceeds and the practical fit for your farm.
Keep each comparison dated. A useful worksheet becomes misleading if one buyer’s quote is fresh and another is several days old.
Follow the market, then confirm the local offer
The MMM Market Center provides commodity quotes, charts, market news, reports and weather. Quotes are delayed 10 minutes. First-year access is free, with no credit card required. Request free access to follow market references alongside your bid worksheet.
The platform does not replace a buyer’s executable cash offer. Confirm price and terms directly with the buyer. For broader sale planning, use our corn selling checklist or contact the MMM team about grain marketing services.
This article is general education, not individualized trading or financial advice. Futures and options involve substantial risk.