Page 2 - Winter Newsletter 2010

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Back in April a formidable task was undertaken
to reconstruct and refurbish a vast number of the
flight pens on the farm. The flight pens had
sustained heavy structural damage due to a
winter storm in December of ’09. A timeline
was set and a crew was assembled to complete
the task by October 1, 2010. That crew
consisted of Nicholas Dembicky, Felipe
Casique, Josh Shepherd, and me. That goal has
been met and surpassed.
Pen #4, which arguably, sustained the most
damage, has been completely revamped. Almost
every perimeter post has been replaced by round
posts and many division fences have received
new 4x4 posts. New steel cable has been run
across all the pens and new prop posts have
been placed. It has also been covered in its
entirety in new high strength netting.
Pen #12 at Noss Road also received the new
netting treatment. The old netting was removed
with machetes and steel cable was run across all
pens. The new netting was then spread and
stretched. The lane and catch pens were also re-
netted with high strength green netting.
Pen #11 at Noss Road was converted from a
counter-weight system to a traditional prop post
style system of netting support. The PVC, steel
cable, and steel rods that composed the counter
weight system were removed. New steel cable
was run in its place and prop posts were put in
place. Due to the moving parts of the counter
weight system, reliability was an issue. The prop
post system is proven and effective.
Pen #8 has been converted from a pulley system
to the traditional prop post system. Along with
the removal of the pulley system, the largest
pens on the south half of #8 were divided in half
to make them more manageable. New division
posts were placed and fences were installed. The
telephone poles that the pulley system was
attached to were also removed.
A similar task was performed at the Contract
Pen. The largest pens were divided in half with
new division fences, again for manageability.
Other pens including #5, #6, #7, and various
partridge pens have also received work. Many
of the pens have received new perimeter and
division posts as well as new cable for the
netting support.
Although the initial project is complete, the
reconstruction process is ongoing. We have
round posts leftover from the construction of
pens at Noss Road so they are being utilized in
other areas on the farm that need them.
The work that has been done over the last six
months has yielded tremendous results, and we
will continue to update and refurbish the pens as
time and weather allows.
2010 Pen Reconstruction Progress
Shayne Noller -
The main ingredients in feed are corn and
soybean meal, thus the price of feed is directly
related to the commodity markets. Higher
markets mean higher feed prices. Lower
markets translate into lower feed prices. These
markets can be volatile and unpredictable at
best. For this reason, contracting feed (locking
in a price for the entire year) is critical to the
success of any game bird operation.
The best ally to determine when and how to
contract is information. Make an informed
decision with the information available at that
time. Look at the crop reports to get an idea of
acres planted and expected yields. Talk to local
farmers, as they will have a good feel for what is
happening with the markets. Look at extended
forecasts, prolonged periods of rain during
harvest typically mean higher prices. The
economy, stock markets, gas prices, ethanol
production all play a role in determining the
commodity prices.
Commodity prices are also driven by global
factors, so don’t be limited to local or national
information. South America’s growing season
is our winter season. Keep tabs on the South
American crop, as this can drive the commodity
prices in the winter months. Also, keep an eye
on places like Russia and China. A devastating
flood in Russia will drive the markets up. As
China becomes more industrialized, they will
produce less corn, which will increase demand
and decrease supply. Looking at the projected
imports and exports of various countries can
provide a good understanding of the supply and
demand of the world commodity market.
Deciding on the best time to contract feed is
critical. Historically, the best time to contract
feed is late October. Harvest is in full swing and
commodity prices are typically at their lowest.
Prices will typically rise over the holidays,
followed by another drop in prices sometime
after the first of the year, but before the spring
planting season begins.
The next decision to be made is how much feed
to contract. This decision comes down to the
confidence in all the aforementioned research.
If confidence is high, then only contract 20
percent of the projected usage. If confidence is
low, contract 80 percent (remember if feed is
contracted but not used, it will have to be paid
for anyway). This would also be a good time to
look at upside versus downside potentials in the
markets.
Say corn is at $2.75 per bushel. Chances are it
is not going to go below $2.50, but chances are
pretty good that it will go higher than $3 per
bushel at some point during the year. A good
time to contract is when the downside is
minimal, but the upside is not. Remember, the
reason for contracting feed is not to hit the
lowest of the lows, but to protect against
extreme price increases. Don’t feel obligated to
contract all the feed at the same time. Instead of
contracting 80 percent at one time, contract 20
percent of the feed at four different times.
Contracting feed is much like an insurance
policy. It locks in the price of feed for the entire
year. Don’t get discouraged over one wrong
decision, because in the long run, contracting
feed will save money.
The Benefits of Contracting Feed
Chris Theisen -
2
800.345.8348 • www.pheasant.com
Completed reconstruction of pen #4, which is
located on MacFarlanes’s main farm