Pride Ag Resources Newsletter First Quarter 2024

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MANAGER’S DESK

Jerald KemmererCEO/GM Pride Ag Resources I hope your New Year is starting out well for you. We have obviously received more moisture this winter than we have for the past several years. Our winter wheat is off to good start, plus the last drought monitor report was back to normal classification. We just need to continue to add to our sub soil moisture to aid in fall harvest planting this spring in order to continue to keep improving our wheat. It would be nice to get back to normal harvest receipts at the coop for a full year or two. When grain volumes are down, we are not able to have any recourse for lost revenue. This includes not

just on the grain intake but lack of wheat acres that was top dressed last spring. It’s been a challenging past few years with the impact of lack of business do to moisture level. This all leads up to changes we need to make at the cooperative to be cost efficient. You may see the information posted at all the locations regarding storage charges going from five cents per month to six cents per month starting the first of February. The last time we increase storage charges was in 2016, over 7 years ago. Since that time our property insurance has gone up 90%, property taxes have gone up 80%, interest rates have more than doubled, and labor has increased by 40%. Total cost of inflation should make our storage cost at over seven cents per month, but we are continuously trying to keep the increases to a minimum. Our focus is on our

First Quarter 2024 capital and service to the five main core business units: Agronomy, Farm Supply, Feed, Fuel, and Grain. It’s about speed, space, having the products you need in seed and crop protection, crop nutrients, feed for your livestock, fuel for your rolling stock, and farm supplies. You may have also seen posted at the locations that we are doing away with oil changes at our branches other than Jetmore. We will continue to sell oil as part of our farm supply. In order to do oil changes correctly on new vehicles we need to purchase certain computer equipment. With the labor that has the experience and education to service all the new vehicles, our cost would be four times our current rates. Having the experience, labor, and skill are the bigger challenges. The Farm Summit Meeting yield in the first of December brought in some

Inside This Issue 2 Safety 3 Ace Hardware - Grain 4 Grain - Agronomy 5 Agronomy 6 Feed 7 AV Energy


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