Kluis Profit Index |
The KPI (Kluis Profit Index) is a new tool for looking at the profitability of corn and soybeans. The KPI Index represents the profit (or loss) from one standardized Midwest acre of new crop 2009 corn or soybeans. One standard method of comparing the value of planting corn versus soybeans is to look at the corn-to-soybean price ratio. However, this does not take the cost of inputs into account. Al Kluis worked with his Affiliates to develop a sustainable, standard index that would consider input costs and provide a baseline to help farmers make that very important call: What should I plant? "I still look at the corn-to-bean price ratio, but this is a better tool," says Al. "The KPI Index is a superior method. It's not prices that count...it's the profit." The KPI Index is updated daily; input costs are reviewed and adjusted weekly. |