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WWW.POTATOGROWER.COM 59 TRADE SHOWS Invite You to the 2019 Stop by Our Booths to See Products, Services, and Opportunities! gellert .com agri-stor.com * NEW * JANUARY 9 - 11 JANUARY 21 - 24 JANUARY 22 - 24 FEBRUARY 5 - 7 & SOUTHERN ROCKY MOUNTAIN AG CONFERENCE 1964-41AgriStor13s.indd 1 11/1/18 3:02 PM Max Yield From the Ground Up 1-800-288-8128 • www.tgschmeiser.com Better Soil Prep For a Higher Yield Max Yield From the Ground Up From the Ground Up 30' Till an' Bedder™ Seed Bed Maker Soil preparation equipment from TG Schmeiser is engineered to provide maximum productivity per acre. Versatile implements till, mulch, cultivate and firm the soil for optimum seed germination. C M Y CM MY CY CMY K 2016MaxYield4.6x4.6FINAL.pdf 1 11/24/15 1:59 PM 157791TGSchm13.indd 1 1/3/17 9:26 AM talked about numbers, explaining the difference between numbers that account and numbers that make up economics: Accounting tracks numbers that explain whether your farm is producing a profit or loss, and by how much. In an entirely different vein, economic numbers explain the market forces that can either transfer wealth—equity—toward your farm or away from it. Observing the violent swing of the Northwest's recent late-summer and early-fall russet potato market, it appears that some potato growers in that region failed to grasp the economic numbers of that period. While regional supply numbers were extracting strong russet pricing in certain markets—Colorado, Wisconsin, Nebraska and central Minnesota, for example— Idaho's powerful July through September shipments, supported by robust old-crop carryover, eliminated any chance for that region's russet market to sustain price. Northwest russet price peaked the week of Aug. 11 with Idaho's new crop appearance. From that point, the Northwest's fresh russet FOB price declined until 40 percent of 2018 crop's value had been lost, or certainly jeopardized. Because Idaho, Washington and Oregon ship about 750,000 hundredweight weekly, simple math explains that for every dollar lost in price, Northwest fresh russet grower revenue drops by about $750,000 weekly. This will continue until supply balances with demand. But why were supply and demand allowed to get out of balance in the first place? This didn't happen everywhere, and where it didn't happen, price remained strong. Two questions: Are numbers like this important to you as a russet potato supplier? And does the fact that this only happened in certain regions suggest that knowing and obeying key numbers—as witnessed across the country—give you pause? Since supply-supporting numbers are well-known, and since competing regions prosper mightily by obeying them, where do you as an individual grower put such a possibility in your business model? Digging out from a hole that did not have be dug in the first place will cost growers millions upon millions of dollars. How many millions depends upon taking Shakuntala's advice and making math— numbers—a friend. Success is always possible when you know and obey numbers.