The difference between success and failure in business is how well that business is able to manage risk. This special issue of The Progressive Farmer provides ideas for managing risk in one of the most volatile times ever in agriculture.

Turmoil in the world's financial and credit markets and a slowing global economy are creating a lot of uncertainty for the 2009 planting season. Declining commodity prices only add to the anxiety for growers facing fluctuating input costs.

Fortunately, the drop in oil prices spells some relief for fuel and fertilizer costs. But generally input prices are expected to stay high as ag supply companies pay more for raw materials, shipping and doing business.

Retail prices for corn seed could be up as much as 35% for multi-stacked hybrids. Even with a price increase for its premier VT Triple designated hybrids, Monsanto spokespersons say they expect that 76% of sales will be in those seeds in the coming season.

"We believe we can show that farmers are capturing the value from those seeds," says John Jansen, corn traits lead for the company. "We're saying these new seeds deliver more for that higher price."

At Pioneer "we're beginning to talk to our customers about new pricing, and so far we think they feel prices aren't out of line with what other things are doing," says Dennis Judd, marketing manager.

"In a lot of markets, pricing levels depend on who you're competing against and what they're doing," says Judd, who declined to divulge pricing and marketing programs at press time. "Once price cards are out there, farmers—especially the bigger (acreage) customers—are quick to point out any significant price differences. So you respond to that."

"We will have some seeds that will be higher this year, but in some instances prices may actually be slightly down," says Jon Blasing with Syngenta Seeds. "We do expect purchase of traited seeds to continue to go up. Traits, particularly in the insecticide area, are becoming more attractive to growers."