SUPPLIERS
BIND THROUGH
INSURANCE!
Offer your farmers uncomplicated and inexpensive milk price hedging
- Little effort
Our platform automates the creation and management of settlements from hedging transactions and KUHdo is the point of contact for your farmers so that you can concentrate on your core business.
- Strong price-performance ratio
For less than €1,000 per year, KUHdo enables your dairy to take advantage of the price hedging offer. A cost-effective investment in the financial stability and satisfaction of your farmers.
- You also benefit from
Hedging with KUHdo not only protects against negative price developments, but also allows your farmers to benefit from market price increases after hedging. A double advantage that increases the attractiveness of your dairy as a partner.
References
We are delighted to count both Sachsenmilch and LAHH Freie Milch among our valued customers. Since 2022, the first farmers have been benefiting from the innovative, exchange-based hedging including loss limitation.
The cooperation with Sachsenmilch, which is a beacon in the industry for its commitment to sustainable and future-oriented dairy farming, is further testimony to our mission.
We would like to thank both dairies for the trust they have placed in us and the opportunity to make a substantial contribution to safeguarding their livelihoods and investments and to promoting more sustainable production methods among their suppliers
Stay flexible
Decide for yourself which insurance products you would like to offer your farmers.
- Butter/MMP with or without limitation of the basic risk
- BLE prices
- Fixed prices
It's that simple
Four steps to milk price hedging for your farmers
1
Contact meeting with KUHdo
2
Test the system live
3
Roadmap for implementation
4
Offer price hedging
Your advantages
Here you will find everything you need to make a decision.
Fixed price model (alternative providers)
Primary premises:
- Without disadvantages for non-insured farmers/cooperators
- Farmer can benefit from price increases despite hedging
- Regulatory compliant
- No implementation costs
- No market price risks (basis risks) for dairy
- No maintenance costs for dairy
- No potential balance sheet or income statement risks for the dairy
- No disadvantages due to possibly reduced year-end distribution due to stock market conditions
- No/little effort for dairy in terms of collateral provision
Secondary premises:
- Can be integrated into milk money accounting
- Several products can be traded simultaneously (butter, SMP, BLE, fixed prices, milk index, options)
- Little effort for the dairy
- Choice of the dairy whether it wants to be associated with pricing
- Free choice of broker
- Position closures possible
- Risk of extraordinary supplier terminations for dairies
- Transparent prices without expensive risk discounts & low trading costs for the farmer
- Farmer training & further added value (e.g. price evaluation, news)
- Personal contact for farmers
- Automatic limitation and monitoring of hedging quantities
- High hedging quotas possible for farmers (more than “free quantities”)
Our solution for your farmers
Dairies can offer their milk producers milk price protection for less than €1000 per year.
Fixed Prices (Other Providers)