Establishing Harvest Price—Key to a Successful Pulse Crop Revenue Insurance Program
Posted: Oct 07 2021
The Northern Pulse Growers Association would like to remind producers the importance of price discovery during the timeframe of September 1 to November 30 in determining harvest price for the revenue insurance program.
The Pulse Crop Revenue Insurance program is referred to as a 508H program meaning that a projected price is determined by an RMA contractor. Current contractor, Watts & Associates, collects pricing data based on regional contracts during January & February of each year. RMA will then review the pricing data submitted by the contractor so the projected price can be posted by the 3rd business day in March.
However, producers play an important role in providing critical harvest price data. The harvest price is based on an average regional price by crop type from September 1 to November 30. Harvest price data is provided to RMA by the USA Dry Pea & Lentil Council from sales/producer check off amounts. Pricing data must be reported on at least 25 days during that timeframe or there will be insufficient data to determine the harvest price.
“If there is insufficient data, the harvest price will equal the projected price and the grower will still have to pay an added premium for revenue protection even though they didn’t get it. It is very important that growers’ market at least some of their product and report prices, even in a down market so a harvest price can be established.
” - Steve Junghans, RMA
We encourage producers to consider marketing at least a portion of their crop to assist in establishing the harvest price. For more information on how the pulse crop revenue program functions best for the industry, please listen to the Growing Pulse Crops Podcast episode interviewing Steve Junghans, RMA Billings here