We left the snow behind for a much-needed holiday.

We left the snow for a much needed half term break in Egypt.  It was excellent, 27 degrees and many fish on the reefs in the Red Sea.  We all needed a break, and I cannot holiday at home because I cannot help working.

Back on the farm, we are just finishing the ploughing, and there are a few rather later than expected carrots still in the way.  There could well be an issue with schlerotinia in the following mustard.  A few lambs have arrived, and that is always a lift in the spring.  We are getting land ready for spring beans and all the rape has had 80kg N/ha as ammonium sulphate applied.  Crops are starting to move, and the second wheat is due some N as urea. 

I bought this recently to top up, as it was good value (relatively) at 60p/kgN as opposed to the £1 my liquid N has cost me.  It is odd that on Monday UK produced ammonium nitrate dropped to £260/t (76p/kgN).  One assumes that they are still making a margin, so how much margin was there towards the end of last year?  The advice was all “buy or you won’t get any”.  Had we held off we could have applied optimal N as the BER (break-even ratio) moves higher up the curve as N values drop.  This coupled with NVZ makes for a very complex and costly working environment.  I cannot help thinking some balance sheet recovery was taking place within the ammonium nitrate supply chain, but then I am a cynic.  There is obviously still stock or there would have been no price decrease.  Of course, I’m not bitter; I always have enjoyed paying over the odds!

We are growing sugar beet again – at least for this year, on a block of land that would have been another break had the rotation fitted and the markets been what they were.  The maths says at £26 beet is the most profitable crop.  So we had the opportunity and the equipment (used for mustard) and only a cell wheel change was required.

I attended the East Midlands members meeting near Melton Mowbray on 26 February, attendance was a bit thin, but those who did attend were well served by Lloyds TSB Agriculture and JHWalter.  There were many suggestions of what can be done in volatile times, but they all seemed to involve risk!  A decision only you yourself can take.  Just think of the Nitrogen price I mentioned earlier.

Prior to that, I was lucky enough to attend the LAA (Livestock Auctioneers Association) dinner.  I was a poor substitute for George who was on duty with member meetings.  Ironically, I had to forgo a room in the Farmers Club and not drink too much as I had lambs for Thrapston market in the morning.  It was a good evening and a chance to meet people who do much for the industry.  As well as livestock markets the firms involved do auction sales and are agents and advisors, many of whom are our Recommended Professionals.

Just to keep me fully occupied I am revising for my PPA exam the Monday before the AGM, so the rain that has kept us off the land is allowing me time in the office to prepare for both.

Not much work has been done since LAMMA

Not much work has been done since LAMMA.  We have ploughed some black land and removed 150 large bog oaks.  Most of our wheat has gone, the grain beetles are dead, but the sprouting is still a problem!  With all the snow the spuds are warm in the shed, and the council snow plough is on the tractor, but no contracts as yet.  There is no money so I think our roads will remain impassable till it thaws.  On the meeting with Sir Don Curry I’m pleased to say that the voluntary approach to set-aside mitigation is to be included in the DEFRA consultation.  I don’t think Natural England are very happy, but they are our delivery partners so they should work with us not against us to the benefit of flagship projects where they have complete control.  We can ask Helen Phillips at the AGM (March 10th) what she thinks.

I attended the City Food Lecture on January 28th.  Sir Terry Leahy spoke well on Tesco and the consumers (are king) behalf.  He will continue providing what the consumer wants at a cheap price whatever happens to the supply chain.  There will be no concession to pay a fair price, and an absolute no to an industry ombudsman (too much extra cost and time with paperwork etc).  Funnily enough, that cuts no ice from our side of the fence with Quality Assurance, Natures Choice and all the hoops we have to jump through for no monetary gain, just access to the market!  They will continue to source the cheapest and keep their margins up.  In the partnership in the supply chain the boot is still firmly on the foot of the supermarket.

The farmer was also at fault because we put so much production into non-food use.  Yet it has been shown that the effect of the non-food market has little bearing on price.  Speculators on the other hand do.  Why should the rape price track the oil price?  There are some that say speculation is a self-fulfilling prophecy, create a problem, take the right position, and make money.  We have to think hard and avoid this volatility especially as a tenant.  Consider some single farm payment protection with the Euro rate; it could be worth a look.

Back home, the sheep are jabbed.  We have a foot rot problem that came in with new stock, so as well as chlostridial; the ewes have had footvax, and so have I.  Very painful as it is mineral oil based.  I still have a stiff finger, luckily it was just a puncture, no injection.  I understand why they won’t stand still!  Lambs are due at the end of the month.  Only 200t of wheat, a little Holl rape and some spring beans for seed to go.  We have a little more light land to plough, but looking out the window, spring is a long way off.  The snow has at least given the rape some respite from the pigeons.

Keep warm!

The TFA and many members were at LAMMA

Chatting to Sally Elkington from Lincs FM at LAMMA

Chatting to Sally Elkington from Lincs FM at LAMMA

The TFA and many members were at LAMMA.  It was a brilliant show, despite the traffic problems.  We saw many current members and signed up more new members than expected, who I welcome warmly and remind them to make every use of what we have to offer. 

Wednesday had the better weather and the high numbers although Thursday was still very popular, but it was not so busy.  There were some attending for a second day, as there was so much to see. 

Most enquiries were about rents, pending arbitrations and landlord’s agent’s inactivity.  The ball is in their court; the world has changed since the heady days of last year!  If your landlord is acting against you and you’ve heard nothing, only the appointment of an arbitrator, then use the time to prepare your case.  It is then up to him to come to you with an offer.  If you have problems, speak to head office for advice and comparables.  Don’t forget the TFA’s RENT DATABANK, we need information in to make outgoing data as accurate as possible. 

If you have a current notice to review in this year (served last year before the December 1st VAT changes) take advice.  The Mason v Boscawen case has changed the landscape short term and may provide you with a useful lever, if your landlord is being unreasonable.  However, there is no reason why reasonable negotiations towards a settlement cannot carry on (see the TFA brief for more information).

Other things are much as usual, sad wet land, lots of pests, livestock inside and all drains running full bore.  Our sheep are in 2 weeks early, we are loading wheat – the photo of me in my “office” behind the popup at LAMMA is the result of 8 live foreign grain beetles in a load at Kings Lynn.  Normal procedure, back to the farm with haulage of £10.50 and the remaining 190t to treat.  Luckily we can do it ourselves, so as not to rack up more cost, and an indoor job for 2 days will suit Paul, our store operator.  It’s typical though that the problem was about as big as a bucket found in between 2 piles of grain that had been dried and conditioned.  It had also been regularly monitored, but was not visible on the surface.  Be vigilant – especially when loading.

In my temporary office at LAMMA dealing with live foreign grain beetles in a load of wheat.

In my temporary office at LAMMA dealing with live foreign grain beetles in a load of wheat.

Prospects for next harvest are interesting.  Prices at the moment are driven by currency and perhaps a hint of lower production.  November 09 price of £124 this week was enough to make me sell a proportion.  These are hard decisions to make in this volatile market.  My feeling is that there is more upside, but decisions should be made for reasons specific to your business.  Markets are not rational at the moment and the speculators are back in!  We still have to pay the rent.

It will be an interesting spring and crop prospects will be a driver.  Let’s hope both lamb and beef prices stay up and that milk improves.  When will the processors realize they are destroying their supply base?  Not when it’s too late I hope.  NVZ regulations are bad enough; the money has to come from somewhere to pay for this.  We are still pushing for grant aid, but there is no money unless you are a bank!

I am attending a meeting with Sir Don Curry on Tuesday 27 January with NFU and CLA about implementation of set-aside mitigation.  We shall be pushing for a voluntary scheme that isn’t to the detriment of ELS or HLS and compensated rather than cross compliance.   I will report on my thoughts after the event.

Keep dry – the wet weather is a good time to do that office work!

Happy New Year to you all

Back to work after the break (if you can call it that living over the shop), which was a morning with Chris and Paul on the farm, then off to the Oxford Farming Conference (OFC) with fellow TFA member Jonathan Papworth.  This was my first OFC and I did struggle after lunch as the lights dimmed in the warmzzzzz… but George Dunn (the TFA’s Chief Executive) ably kept me focused and I skipped lunch on day 2 and had a walk!

There will be much in the press about the event so I’ll not go into too much detail, but Hilary Benn was the most decisive I have heard him.  Sticking up for us on pesticides at the EU, based on lack of evidence/risk assessment.  If the evidence doesn’t support a ban then there should not be one, he said.  So on that basis if the weight of evidence that a cull would control TB, then he would have to have a cull.  The TB eradication group will have to consider the case.

Renewables and food security were also high on the agenda.  I met Jane Kennedy MP and Lord Hunt on that subject with a select few on Tuesday night.  Lord Hunt was not aware of the pitfalls of change of use in the planning of wind turbines allowing the landlord all the benefit.  George is briefing him properly by letter as I write this.  I endeavored to get the minister to understand the present state of farming, and the risks of loss of production especially milk if something is not soon done.  There is an assumption among politicians all is well in agriculture.  If they want food security, they need to know the starting point, so hopefully they will act sooner than they would if everything were in good heart.

For me the case studies were fascinating, people proving just what is possible if you get it right, but also how you have to stay on top of your game to remain there.

The Frank Parkinson lecture was also fascinating.  Australia’s research and development puts us to shame.  More funding on new technologies and conventional, to beat drought, to use less nitrogen, to improve health and sell a positive story to consumers.  Much to be learned there.

Wednesday afternoon and the IGD (Institute of Grocery Distribution) research findings might surprise you, particularly the interpretation.  We have a low opinion of ourselves but the public thinks we are hard working but not well paid.  We came third after nurses and doctors for hardest working, but the public don’t hear enough from us.  They want British food, but food is expensive.  They are also still concerned about animal welfare, though our standards are one of the best, we cannot let them slip.  We apparently have a public profile to die for!  We should capitalize on this and the last two speakers showed how they were doing it locally through the media and leaf (linking environment and farming), particularly farm open days, so we should get out there and turn the perceptions around.

A very enjoyable and stimulating two days. I made a lot of new contacts and it was most worthwhile, personally and for the TFA.

Sadly I missed the first chance for 10 years to skate outside on Whittlesey wash and now the frost is out it’s a bit sticky.

So what’s new you may say, Bliss on thin ice or in the s***.

Why can’t we play our part in achieving Food Security?

Hilary Benn has stated in his Fabian Society lecture that there will be no incentive to increase domestic production as part of a national food security strategy.

His answer is policies to promote better distribution and stable supply. He wants a global strategy on production and sustainability. Perhaps Gordon’s save the world gaff was a Freudian slip!

What he fails to recognise is what UK agriculture can contribute to this. Instead of allowing self-sufficiency to decrease and output drop, we should use our benefits of stable climate and land quality to produce more, for everyone as part of his policy. We are far better placed than most and don’t suffer the extremes of many others (it may not seem like it sometimes).

We have the land, capability, technology and will. DEFRA should at least invest in the research and development if not more so that we can become a key player in Benn’s policy and help feed this growing world population.

I have seen little of the farm this November

08december02-stuck-plough23I have seen little of the farm this November.  I have sprayed half the oil seed rape and valiantly managed the gas guns but the pigeons know I’m away!  TFA head office kept my diary clear so we could finish a protracted harvest.  We finished wheat on Sat 20th September with only two loads of wheat cut under 15%, and immediately started potatoes on the following Monday.  I had a deadline – the logjam of TFA business organised for November.  We did get finished with respectable outcomes and I hit my deadline and made the first meeting with George!

We have lobbied Hilary Benn, he did take on board our issues over Upland Entry Level Scheme (UELS), but he was intransigent over grants for slurry stores required by new Nitrate Vulnerable Zone (NVZ) regs.

08december02-sprayerWe have met all major landlords just Country Land and Business Association (CLA) and the Ministry of Defence (MOD) to go.  One of the big worries from this is the way estates are now structured and the availability of holdings suitable for county council tenants to move up to, especially now most county council Farm Business Tenancies (FBT’s) are two five year terms and you’re on your own.

After five days and two nights in London over the last ten days I feel as drained as my bank account.  Who could have foreseen the last 12 months roller coaster?  Last year hopefully most people did pretty well, this year our cash flows are shot to hell especially if you bought and paid for fertiliser.  I normally take delivery pre Christmas and pay May.  September delivery and pay October has seen some fairly serious conversations with the bank, if all creditors pay on time and the Rural Payment Agency (RPA) cough up pre spring rent then we shall be ok.  Do make sure of all the bills that the rent gets paid.  Speak to your landlord early if you see a problem, all our meetings endorsed this view so look at your cash flows and don’t get caught out.

08december02-stuck-plough11We have been visited by our itinerant friends again, more diesel stolen, despite cameras, locks and alarms.  Our neighbours have been visited 9 times in 12 weeks.  Now that they have not refilled their tanks we have become the next in line.  They are even sucking the diesel from the potato harvester and tractors in the field, stealing the pump and contents of the bowser.  No doubt using the pump the next time they returned.  It is quite a task to remain focussed with this going on, but everyone locally is teaming up and we are hopeful we might put a stop to it if we all cooperate.

Ending this blog entry, I welcome any comments and contributions.  I have included a few memorable pictures from this year for your entertainment.  There is always someone worse off than you!

Happy Farming.

Greg