11.22.2024
Biodiesel margins rise, but window of opportunity limited
Biodiesel margins continued to rise during the week to Friday November 22. The bean oil/heating oil (BOHO) spread boosted margins by falling to its lowest level since August 27.
Craft flower markets continue to be an attractive segment for small farmers. Pricing for hemp flower even at low wholesale prices can return tens of thousands of dollars per acre. At wholesale hemp flower prices, well below our midpoint pricing for hemp flower, producers can see far greater returns than alternative crops.
Producers that are able to harvest 500 lbs. of premium craft flower per acre can often sell this for $100/lb. That resulting $50,000 is dwarfed by potential returns for the very best hand trimmed flower, which we see moving north of $500 routinely. Southern Oregon producer’s yields often exceed 3000 lbs./ac, creating additional yield potential beyond the previous yield scenario. A 1000 lb. harvest of top end flower sold at our midpoint pricing fetches $185,000. Meanwhile, other producers struggle to move flower at $70/lb. Without objective grading it…