Ring demand rising as replacement falls
Ring demand rising as replacement falls
DEMAND for machinery ring services is forecast to increase as poor returns from arable and dairy farming pressurise machinery replacement policies.
Despite attracting its 200th member and seeing a further improvement in turnover, Thames & Kennet ring chairman, Brian Doble, who farms at Shiplake near Reading, Berks, believes the ring has "barely scratched the surface of what it can do for farmers in the Thames Valley".
Speaking at the companys annual meeting, Mr Doble said the increasing trend in dairy herd dispersals in the area will impact some of the services members provide.
"But as machinery gets older and farms do not have the resources or can justify replacing it, there will be added impetus to use the ring, which is structured to help the profitability of individual business through co-operation," he said.
Like several other rings, the Thames & Kennet plans to attract more members by extending its operating area. A part-time manager based at Devizes has been appointed to develop ring services from the companys Berks/north Hants heartland, westwards into Wiltshire.
At £582,000, turnover from general services last year showed some recovery from 1997, when it fell by more than £140,000 over the year. That was blamed on cut-backs in capital projects, as well as straw baling (one of the rings main activities) because of stocks held over from 1996.
Thames & Kennet also handled more fuel, worth £224,000, which took total turnover to a record £806,000. Latest addition to the portfolio of services is electricity supply with the promise of a typical 20%+ saving in costs. *