Want to take advantage of the market when certain stock categories are short and in high demand or do you want to lock in a price before an over supply causes the market to slump?
AuctionsPlus forward sales allow you to sell forward from 14 days out from sale date to 3 months out with the added bonus of auction competition.
How does it work?
- Assess livestock to be delivered within certain weight spec not to be delivered to an average weight
- The assessment is completed as a group assessment on the delivered livestock, not as they are now
- When selecting delivery dates, if delivery is more than 14 days past the sale date there will be an option for to select Forward Contract, which means the assessment will only show the delivery weight
- On the weights tab select whether the weights are Live or Dressed
- Then fill in the weight range of lambs to be delivered, and the weight range table
It is suggested that this type of selling tool only be used with a vendor you know well and have data on their performance as a guide on previous years.
When doing a forward sale assessment it is important to remember that you are selling on a weight range, not an average.
FAQ’s
“What tolerances do I have?”
“What is the price adjustment schedule if I fall outside of Ts and Cs?”
- If sheep or lambs exceed the tolerances in Clause 3, and the purchaser does not provide a matrix of penalties, the discount schedule in the table below will apply (unless the Selling Agent or Vendor and Purchaser agree otherwise):
- You must get onto the phone with the buyer straight away and let them know ASAP, they may be willing to discuss a change in delivery period or renegotiate the contract.
- Please keep AuctionsPlus up to date in these discussions and have all correspondence in writing.
- It is important to note whether this was due to a management practice or forced majeure (act of god). Forced majeure may in certain cases cause the contract to be null and void.