With the growing season just around the corner and cotton prices at a dollar a pound or higher, cotton producers are wavering between two thoughts. Should I develop a marketing strategy now to take advantage of high prices? Or, can I get away with procrastinating just a little longer?

Cotton producers can start to answer these questions at a seminar on managing cotton price risk, hosted by Cotton Incorporated in Memphis, Tenn., on Feb. 16 at the Peabody Hotel, 149 Union Ave., from 8:30 a.m. to 5 p.m.

The event is part of a series of one-day seminars designed to help cotton producers increase their understanding of options on cotton futures contracts and what they can do to help increase their returns from cotton. Sessions will cover the basics of cotton futures and options, specific hedging strategies involving the use of cotton options contracts, producer perspective, and a market outlook.

Other seminars are scheduled in Phoenix, Ariz., in March 2011 (date to be determined) and in Lubbock, Texas, on March 30.

“The seminars will cover the basics, as well as some of the more intermediate information related to cotton futures and options, specific hedging strategies involving the use of cotton options contracts and real world applications,” says Cotton Incorporated’s director of agricultural research and ag division staff economist, Jeanne Reeves.

“Knowledge of these market-based strategies is critical for increasing the bottom-line of producers, and we encourage them to attend this seminar at no cost.”

Speakers at the seminars will include Carl Anderson and John Robinson from Texas A&M University. They will discuss when and how to use a variety of option strategies including: fences, three-ways and calendar back spreads.

O.A. Cleveland, a cotton marketing specialist, market analyst Mike Stevens and Jarral Neeper, president of Calcot, will provide market outlooks. Speakers may vary depending on location.

Registration for each seminar is free, and includes all presentation materials as well as lunch during the seminar.

To learn more about these events and to register, contact: Kay Wriedt, Cotton Incorporated, (919) 678-2271 or kwriedt@cottoninc.com.

The seminar series is sponsored by Cotton Incorporated with local sponsorship. The Memphis event is co-sponsored by Delta Farm Press.