Supply Chain Series: Marketing

cotton marketing cooperative

Every step of the cotton supply chain builds upon the other. Producers also can add value to their crop through ownership in the final step of the chain – the marketing cooperative.

Co-op Advantage®️ regional co-sponsor Plains Cotton Cooperative Association works throughout the year for grower-owners to invest in their future.

“PCCA was born out of the necessity of farmers wanting to control their own destinies and achieve the best possible price for their cotton,” said Charley Triplett, PCCA Vice President of Member Services. “In the early 50s, producers came together to begin what is now PCCA.”

Founded in 1953, PCCA is a marketing cooperative owned by producers in Texas, Oklahoma, Kansas and New Mexico and is dedicated to supplying sustainably-grown, high quality cotton fiber around the world.

In addition to cotton marketing based in Lubbock, PCCA also owns cotton warehouse facilities in Texas, Oklahoma and Kansas and develops software programs and networks to local co-op gins that help add value to their grower-owners’ cotton.

Triplett, a 27-year veteran of PCCA, has been a part of the co-op since graduating from Texas Tech. He, like all those at PCCA, lives and breathes the mission statement of ensuring the long-term profitability of grower-owners through value-added marketing programs and through services to their gins.

“The advantage of being a part of PCCA is the knowledge we’re here for you to find the best way to market your cotton and make the most money for you,” he said. “The greatest part of this job is working with grower-owners and knowing the tremendous trust they have by putting their livelihood in our hands, and then paying dividends back to them in a timely manner.”

PCCA offers four distinct marketing options for grower-owners.

Pool Marketing:

This is the most popular for grower-owners because it achieves a good average price over time, minimizes risk and allows producers to focus on their farming operations. PCCA’s pools are managed by experienced professional marketers and merchandisers that stay in direct contact with our grower-owners to carefully manage risks.

Forward Contracts:

This allows grower-owners to market their crops prior to harvest. These contracts provide a tool to lock-in a base price on a portion of their production. The greatest advantage of this marketing opportunity is to take advantage of rising markets prior to harvest.

Cash Marketing Via The SEAM®️:

PCCA grower-owners have access to electronic marketing for their crops through The Seam. This marketing opportunity offers a greater number of cotton buyers to bid for the cotton offered for sale by PCCA grower-owners, thus ensuring the most competitive price possible.

PCCA Direct:

The newest of marketing opportunities, PCCA Direct allows farmers the ease of selling their cotton directly to PCCA field representatives from wherever they are – from the gin office to the middle of their acreage.

“PCCA is owned by grower-owners,” Triplett said. “If they didn’t choose to market with PCCA, there’d be no reason for us to be here. Because they do, we’re in it for the long haul.”

That is The Co-op Advantage.

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