It is often said there are only two things you can count on for sure: death and taxes. However, farmers who purchase online consistently report they count on buying agricultural chemicals at lower prices.

Buyers benefit.

Ten to 20 percent savings are common according to XSAg.com, based in Morrisville, NC. And, some users report substantially higher savings. XSAg.com. XSAg.com offers a secure website to buy and sell agricultural chemicals, and has done so since 1998.

More than $1 billion in sales listings have been available at XSAg.com. The firm says volume is up about 2,000 percent since the first season in operation (1998-1999).

"It's been really fun to watch how XSAg.com grows. Customers that we have worked with from the beginning are still buying through the site and telling their neighbors about it," says Breen. "At XSAg, we pride ourselves on top-notch customer service, safety, security and convenience. Delivering on that for our buyers and sellers is what’s allowed us to grow so rapidly."

Sellers benefit, too.

XSAg.com also serves chemical manufacturers, distributors, dealers and farmers throughout the US. "In the beginning, we were a website helping chemical dealers sell excess inventory," says Fulton Breen, XSAg.com Co-Founder and CEO. "However, quickly sellers became so successful they didn't look at it as just selling extra inventory. Today XSAg.com is looked at as a tool to help extend their sales territory and market reach."

Sellers now look at XSAg.com to help them sell higher volumes vs. just trying to clear out old inventory.

Breen says the biggest challenge for the XSAg.com has been going from a small company to a thriving business. While investment money from venture capitalists, including Morgan Stanley, got the business started, it has been the dramatic increase in use of the website XSAg.com by buyers and sellers that has sustained the firm’s growth.

Breen continues, "Our customers have grown with us, and we've really looked at our increase in sales over the years as due to marketing as well as word of mouth from our current customers that tell neighbors about us. While we started in the dot-com era, the business model has proven itself and we’re growing nicely.’"

Buyers and sellers can trade chemicals 24 hours a day, seven days a week on the "neutral trading floor" at XSAg.com.

Easy to use.

Within minutes new users can register at XSAg.com and begin checking the best prices offered by suppliers.

Farmers who don’t want to have to pay freight charges, or aren’t sure the best price is being publicly offered, or don’t find the product they’re seeking, have another popular option.

Breen says, ” Many growers choose to enter a ‘Name Your Price’ bid. Freight to the growers’ farm, or delivery location, is included in the price the suppliers quote under this option. Farmer simply type in the name of the product they are looking for, and the price they are willing to pay including shipping cost. Dealers try to fill that order.”

Milan, Ill., corn and soybean producer Brian Parkinson, an XSAg.com customer for 6-7 years, uses site to purchase generic Roundup (glyphosate) and some Balance at a substantial savings.

Parkinson says, “Several years ago when I initially purchased generic Roundup through them that was one of the few places that I could purchase it. The savings was 40-to-50 percent. Now I can buy generic Roundup at local input retailers and co-ops, so the price difference isn’t nearly as substantial, but I’m still saving 10-15% over what I’d have to pay for generic products from area dealers.

“I use the “Name Your Price” option on XSAg.com, so delivery is included,” Parkinson notes. The company says some farmers use the fixed prices, but nearly 90 percent of XSAg.com transactions are "Name Your Price.

Parkinson says he’s been very satisfied with the product quality and feels secure making purchases through XSAg.com. “It’s as secure as my bank’s website.”

XSAg.com protects buyers and sellers through escrow accounts. When a buyer makes a purchase, their credit card payment, electronic check, or bank transfer is sent to XSAg.com, and the payment is held until the product is delivered. The buyer has 48 hours to inspect the product and make sure everything is all right before XSAg.com sends the money to the seller.

"The benefit to the seller is they have no credit risk because the money is in the account as long as they complete their job correctly," Breen says. "The escrow service lets buyers feel more comfortable using XSAg.com, because they know they are going to get the product."

XSAg is a free service to buyers. Dealers pay a 3 percent service fee on closed sales. A dealer's license, commonly held by dealers and distributors, is required to sell chemicals through XSAg.com.

Dealers use XSAg because it expands their sales territory.

"A dealer in Illinois can sell to a grower in Mississippi," says Breen. “XSAg.com is the neutral trading platform that connects them and lets them expand their business.”

"XSAg.com extends their reach to customers they normally wouldn't get to work with."

XSAg also provides dealers with "blind shipments", meaning growers receive product but the dealer's name is not revealed.

"The trucking line comes in to pick up product, but the dealer's name is not on the bill of lading," says Breen. "A lot of dealers like to trade online without publicizing it."

Generally, it takes one to two weeks to ship products to the buyer.

Some neighbors have worked together to offer larger product bids, said Stow.

Parkinson says, “I had a lot of questions from neighboring farmers, as well as my suppliers about using XSAg.com. As a result, as a favor to some farmers I’ve purchased generic Roundup for them and piggybacked their orders with mine. The larger quantity helped get an even better price.”

Farmers also buy in groups.

Breen says, "Growers get together with their neighbors and put in a group order. They can send in their payments separately and we have their products shipped to one location. It does give producers more control and increases their buying power."

Parkinson sums up his online chemical buying experiences: “There’s no doubt in my mind that XSAg.com has encouraged competition in the ag chemical business, which has resulted in lower prices and more generic product choices for all farmers, not just those buying online. Being able to go to www.XSAg.com, check chemical prices and then make a bit to buy if they like what they see, is worth a lot to farmers. We need to take advantage of cost-saving opportunities to remain competitive and profitable.”