1.  

PRODUCT MANAGEMENT BULLETIN: PM–23-004

United States Department of Agriculture


Farm and Foreign Agricultural Services


Risk Management Agency


1400 Independence Avenue, SW
Stop 0801
Washington, DC  20250-0801

Date

January 17, 2023

To:

All Approved Insurance Providers
All Risk Management Agency Field Offices
All Other Interested Parties

From:

Richard H. Flournoy, Deputy Administrator /s/ Richard H. Flournoy    1/17/2023

Subject:

2023 Crop Year (CY) Common Crop Insurance Policy and Margin Protection Projected Prices and Volatility Factors

Common Crop Insurance Policy1

The 2023 CY projected prices shown below are approved for the Yield Protection, Revenue Protection, and Revenue Protection with Harvest Price Exclusion plans of insurance. The 2023 CY volatility factors shown below are approved for the Revenue Protection and Revenue Protection with Harvest Price Exclusion plans of insurance. The projected prices and volatility factors apply to policies with a January 31 sales closing date and are applicable for the crops, types, practices, and states indicated below:


Crop/Type/Practice/State Exchange Contract Projected
Price		 Volatility
Factor
Corn
Texas
 CBOT September
Corn		 $6.14
per
bushel		 0.19
Corn - Organic Practice
Texas
 CBOT
 September
Corn		 $11.53
per
bushel		 0.19
Cotton2
Texas
 ICE December
Cotton		 $0.81
per
pound		 0.26
Cotton - Organic Practice2
Texas
 ICE
 December
Cotton		 $1.33
per
pound		 0.26
Grain Sorghum
Texas
 CBOT September
Corn		 $6.07
per
bushel		 0.19
Grain Sorghum - Organic Practice
Texas
 CBOT September
Corn		 $12.69
per
bushel		 0.19
Peanuts - Runner Type
Texas
 CBOT/
ICE		 December
Wheat, Cotton, Soybean Oil, and Soybean Meal		 $0.2624
per
pound		 0.18
Peanuts - Spanish Type
Texas
 CBOT/
ICE		 December
Wheat, Cotton, Soybean Oil, and Soybean Meal		 $0.4120
per
pound		 0.18
Rice - Long Grain Type
Texas
 CBOT September
Rice		 $0.169
per
pound		 0.10
Rice - Medium and Short Grain Types
Texas
 CBOT September
Rice		 $0.238
per
pound
 0.10
Rice - Long Grain Type; Organic Practice
Texas
 CBOT September
Rice		 $0.226
per
pound		 0.10
Rice - Medium and Short Grain Types; Organic Practice
Texas
 CBOT September
Rice		 $0.319
per
pound
 0.10
Soybeans
Texas
 CBOT November
Soybeans		 $13.94
per
bushel		 0.14
Soybeans - Organic Practice
Texas
 CBOT November
Soybeans		 Not available.3
Sunflowers - Oil Type
Texas
 CBOT July
Soybean Oil		 $0.323
per
pound		 0.19
Sunflowers - Oil Type; Organic Practice
Texas
 CBOT July
Soybean Oil
 $0.588
per
pound
 0.19
Sunflowers - Confectionery Type
Texas
 CBOT July
Soybean Oil		 $0.346
per
pound
 0.19
Sunflowers - Confectionery Type; Organic Practice
Texas
 CBOT July
Soybean Oil		 $0.588
per
pound		 0.19
1 Projected Prices and Volatility Factors are applicable for the Enhanced Coverage Option (ECO) and the Supplemental Coverage Option (SCO), where available.
2 Projected Prices and Volatility Factors apply for Stacked Income Protection (STAX - cotton only).
3 For the 2023 CY, organic coverage is not available for soybeans in counties covered by the January 31 sales closing date.
         

Margin Protection

The following 2023 CY margin projected prices and volatility factors are approved for the Margin Protection plan of insurance. The margin projected price is used in conjunction with projected input prices and the expected county yield to derive the expected margin (per acre), trigger margin (per acre) and liability. The expected margins are available at the following on RMA’s public website: webapp.rma.usda.gov/apps/actuarialinformationbrowser/.

Please see the following on RMA’s public website for program details: www.rma.usda.gov/en/Policy-and-Procedure/Insurance-Plans/Margin-Protection-for-Corn-Rice-Soybeans-and-Wheat.


Crop/Type/State Exchange Contract Margin
Projected
Price		 Volatility
Factor 
Rice - Long Grain Type
and No Type Specified
Texas
 CBOT September
Rice		 $0.169
per
pound		 0.10
Rice - Medium and
Short Grain Types
Texas
 CBOT September
Rice		 $0.238
per
pound		 0.10
         
DISPOSAL DATE
December 31, 2023
USDA is an Equal Opportunity Employer and Provider

  Risk Management Agency Office

  • 1400 Independence Ave. SW
    Washington, DC 20250