Act Of God contracts

[farmaholic]

Stoney.... I think most of the line companies don't offer the AOG, not even on lentils. But alot, if not most, special crop contractors seem to offer it. I've seen special crop contractors offer both, AOG and no AOG, the no AOG prices were higher.

[stonepicker]

K, makes sense. I grew buckwheat for a couple of years, other than that no specialty crops here.

[Braveheart]

Our malt contracts have AOG clauses. We haven't had to test them yet.

[jamesb]

In 2010 we had a wreck with lentils, very similar to what is happening this year. We had a production contract for 2 or better with an AOG clause., this is with a large special crop processor here in Sask.
Most graded feed, we essentially tore up the original contract and made a new one based on the current value of what we had. I felt it was fair.
With malt barley on several occasions we had a malt contract with AOG that didn't meet specs, we were free to find a market for it as we saw fit, no costs to get out of the contract

[Rareearth]

All depends on the quantities available for the various grades.

Viterra with lentil contracts force delivery to the producer, they cover and must deliver, buy outs not a option or available. If buyout are available its at a obscene price.

[farmaholic]

I was always under the impression "malt" barley should be designated as a specialty crop. With a price to reflect it's designation. Besides, who would grow malt under contract with out an AOG clause? That would be insane.
Re pricing....finally there is some decent value being paid. Good money to be made growing malt if you're successful making the grade and have good volume.