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Tools for Agriculture : Managing the Risk

Energy-related risk management tools and the role of energy production/use strategies in risk management for production agriculture and the food system were examined at a June 27-28 conference at the Hilton Kansas City Airport, Kansas City.  The conference was sponsored by USDA’s Risk Management Agency, USDA’s Office of Energy Policy and New Uses and Farm Foundation.  Identification of new non-insurance risk management tools related to energy production and use was another goal of the conference.

The high cost of oil and natural gas, combined with the growing public and private interest in renewable energy, is raising new risk management issues.   Farmers and ranchers, particularly limited resource farmers, have been hard hit by rapidly rising and volatile energy prices.  Prices of nitrogen fertilizer and other petroleum and/or natural gas based inputs have risen rapidly.  Some farmers are using traditional risk management tools to deal with these new sources of risk.

The program below includes links to speaker presentations.

Welcome Eldon Gould, Administrator, USDA Risk Management Agency

Managing the Energy Risk in Agriculture


 Keith Collins, Chief Economist, USDA
Economics of Energy Production in Agriculture Vernon Eidman, University of Minnesota
 Paper and  Presentation

U.S. Agriculture: A Major Player in the U.S. Energy Scene


 David Bransby, Auburn University
A Broader Look at Risk Management  Nick Piggott, North Carolina State University
Markets and Risk Management Strategies  Kim Anderson, Oklahoma State University
Overview of Emerging Technologies  Phillip Badger, General Bioenergy Inc.
Energy Success Stories

Ethanol Plant
 Bill Pracht, East Kansas Agri-Energy

Methane Digester
 Robert Foster, Vermont dairy farmer

Vehicles Powered by Cellulosic Materials
 Wayne Keith, Alabama farmer/logger

Marketing Success Stories

Risk Management Strategies
David Spears, Agriculture Solutions Inc.

Ethanol Marketing for Cooperative Plants
 Steve Bleyl, Renewable Products Marketing Group

Integrated Risk Management Program
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