A little bit of something different goes a long way
In one of my previous blogs I talked about the power of the supermarket.  The crux of this issue is if they cut their price or lose market share in this one small line it is not the end of the world but further down the supply chain it matters more.  Focussing on farmers ...there has been an ongoing pressure in farms to specialise for a number of years and more recently to diversify.  Diversification will generate additional income streams – often more than the farming could generate but it also manages risk.  It takes income away from the volatility of commodity food production.  So....whilst diversification is great (Miss Seaford and I recently holidayed in the South West in a barn conversion on a dairy farm where the income is a welcome addition to the business and was run very well) but there are also risk management tools by improving the enterprise mix. Mono-product businesses are very high risk unless they are price setters.  Farmers are not.  So think about your business.  What happens if milk sales fall? Can another enterprise take the strain for a while?Onto diversification....how often has a holiday cottage been badly placed or constantly upset residents?  What happens when the next big amusement park struggles because of the 3 miles of single track road or the horse hating livery owner upsets all his residents again?Diversification is great and can significant improve profits and risk.  Match the opportunity to the asset though.  If you have a great view consider visitor attractions and holiday/tourism but if access is poor avoid welcoming visitors to the farm.  A very successful local equine enterprise is successful due to the farmer’s wife.  She is a ‘horsey’ person so knows what is good and what is not.  Similarly a peaceful easily accessed farm in East Sussex is now a fantastic camping and caravan park.Look at what your skills are, what you and your farm’s assets are and match those to an opportunity.  Take advice and ensure you remain planning permission compliant!So what am I saying?  Diversify YES but look at the core business and manage risk in all the ways you can.

More on diversification in the future.

Agriculture and horticulture is not very forward thinking......

....well try telling that to the commercial growers at the National Fruit Show yesterday.  If ever there was an example of how consumer focused, scientific and technologically advanced and forward thinking our industry is it was this event.

I have said before that we need to show how exciting our industry is...at the fruit show you could talk about crop protection (including matters such as beneficial insects), GPS systems for irrigation, crop nutrition and management, automated-technology for picking and packing, storage science and high level marketing strategies.

Last year the industry increased our share of total apple sales in the supermarkets regaining market share from imports and new varieties are set to further advance this in 2010 and beyond.

WOW!  Well done to the organisers and how about some good news stories about this sector?

 

Organic Debate – what’s the issue?

This December Hadlow College will be hosting the first Fresh Start Christmas debate.  The title is Organic Farming Myth or Legend.  So what are the main issues we need to discuss?

Food security, environment, disease management, conservation, fuel use, animal welfare....?

 

Fixing exchange rate makes sense

The farmers who a few months ago fixed their exchange rate for their SFP at £0.90:€1.00 have done a good little bit of business.  The last 2 years have shown there is real value in fixing when the rate looks rather than waiting for the 30th September lottery. 

But what is a good rate and should farmers become currency traders?

What is a good rate?  Well....is it right for you is a start.  Most business will produce an annual budget and know what they ‘need’ their SFP to be.  Also what is the outlook in the economy?  The last two years there has been huge uncertainty in the economy...so was the upside of fixing more luck than judgement?

I think the answer is yes and no.  People who did lock in felt that £0.90 was good enough for them.  Once you lock in you need to stop watching the rate.

My tips would be know what you want, see what the rate looks like, take advice and then make a decision.  Farmers would not start a new enterprise without some research and talking to a lot of people.   Treat fixing rates in the same way...do your research.

Looking ahead to next year...who will think about fixing?

 

Kent Fresh Start Business to Launch NEW Programme on 10th November

Exciting news the Kent Fresh Academy for Business is launching the Autumn/Winter programme on 10th November with a guest speak, buffer and drinks.  The new programme will be on the fresh start website (www.careerinfarming.co.uk) soon.

Also we have confirmed the date of our Christmas Dinner and Debate.  The theme this year will be Organic: Myth or Legend.  Keep an eye out for more details.

 

Harvest Weather Galore

The weather has been pretty good over the weekend (cracking wedding too).  Congratulations to Eve and Liam - Miss Seaford and I had a jolly old time and from what I remember so did everyone else. 

I expect the combines will be rolling today and much of this week.  Hopefully most will be able to get finished before the next hit of rain; at least in the South East anyway....how is the rest of the country looking?

A little bit more about me....

Yesterday I had my 100th view of the Blog – in less than a week!  With that in mind I thought I should tell you more about myself....

I live in a lovely house in East Sussex with my girlfriend who I will call Miss Seaford.  It was the wonderful Miss Seaford who suggested the name of this blog – so any potential bloggers looking for a name get in contact.

Miss Seaford and I look after our dog called Doodles and enjoy taking her for walks in the local area.  We are both involved with young farmers and I have just taken up sea fishing.

I graduated from Writtle Agricultural College in 2003 with an Agricultural Business Management Degree and loads of good times.  The reason I am so involved in this industry is a school farm.  I think school farms are great.  You learn so many skills and get a fantastic insight into the industry.

Let’s hope there is more support for school farms in the future. 

I am off to a wedding this weekend (Good luck Eve & Liam).  I am hoping for dry weather both to get harvest finished and for a good wedding!

 

Valuers examination is really great

Yesterday I went over to Salisbury for the Hants, Wilts and Dorset CAAV Tutorial.  I have recently started to revise all that is needed to know working toward qualifying as a valuer next year.  But CAAV is far more than valuation....yesterday I valued livestock, machinery (deadstock), discussed ELS and SPS, valued a grain store and grain and assessed a building for tenants dilapidations.  In the afternoon we looked at diversification, tenancies, land purchases and estate agency.

First – really great day thanks to Robin Edwards and CAAV - Robin has also been a great Fresh Start supporter.

Secondly – I want to recommend the CAAV (www.caav.org.uk) to any consultant and young surveyor as you learn stacks and stacks and build up a really useful network of contacts and peers.

 

Can’t Get No (Job) Satisfaction! Unemployment, public spending cuts and job security
With the news full of job cuts in the public and private sector, spending cuts which will affect us all and those in the public sector especially and news of a record number of young people not getting into degree courses it got me wondering is working in farming all that bad?

A recent survey showed that the industry feels that farming and horticulture is viewed as low pay, low technology, no job opportunities and not progressive.  What?  It is none of those!!!!

We will always need food!  So farming can offer job security.   You often get a car and/or accommodation with a farm worker job.  Not too many farm workers get sack due to spending cuts.  You get to live in a quite rural location (no London commute), work in the fresh air and we have very high levels of job satisfaction.  Yes there are some down sides – but far more upsides!

Why else are so many city-types trying to come to the countryside!  Our industry is great and we need to tell more people about it.  

How can we get schools and career advisors to be more positive about the opportunities our industry can offer?

 

Check out our Fresh Start website

www.careerinfarming.co.uk

 

I welcome any comments or feedback...

Low number of degree places: Land-based Apprenticeships????

In Kent earlier this year we launched our New Entrants Fresh Start Academy (www.careeringfarming.co.uk) which is designed for school leavers and career changers to get a taste for farming.  The course has had huge demand with plans now to set up a 2nd one (thanks to Hadlow College and KCC for the support!).  We look at all the basic practical skills involved in all aspects of farming.

Why did we do this? Well - more and more people with no basic skills in agriculture we coming to ask about Fresh Start courses.....so we designed one!

This leads me to my question: why is there such low uptake of land-based apprenticeships?  It is a good way to learn about the industry and gain skills.  It is a great career!  You can earn why you learn! Agricultural workers have a wide range of transferable skills! There are good opportunities to progress to management! What more could we want?

So why are apprenticeships not working?  The industry needs to work together, learn and commit about apprenticeships...how can we do it?

 

About Me - Welcome to my Blog

My name is Doug, I am a Rural Business Consultant for Laurence Gould Partnership (www.laurencegould.com) and also the Regional Coordinator for Fresh Start in the South East (www.careerinfarming.co.uk).  Fresh Start Academies offer training and opportunities for people looking to start or develop a career in the farming, horticulture or land-based sectors.  I provide a wide range of advice on rural business matters to commercial businesses, government organisations and charities.  I grew up working on a school farm and last year was Agriculture and Rural Affairs Policy Chairman for the National Federation of Young Farmers Clubs.

Check out my Blog for news and info on Fresh Start and to hear what I am up to.