30 November 2001

Dalgety makes it three

DALGETY has set up a third grain marketing group in the eastern region following "excellent returns" from its two existing partnerships.

The new group, Invicta, was set up in June, and already has 23 members in Kent, Sussex and Surrey. It follows the success of the Hereward and SEFA grain groups further north, where the combined membership sell over 100,000t/year.

"The basis of the scheme is to link farmers with consumers, with Dalgety acting as the intermediary," says Philip Noyce, grain manager at Dalgety Canterbury. "The results have been very favourable so far."

Realistic prices

Members gain from beneficial haulage and payment terms, as well as access to Dalgetys risk management. Average prices achieved by Dalgetys other grain marketing groups have been significantly ahead of published spot prices, says Mr Noyce.

One member is Tim Piper, a Farmer Focus contributor to farmers weekly. "I believe farmers now have to get together to market more co-operatively," he says. "Trading individually we are left to the vagaries of the world market. But with more Invicta members we become stronger and better able to get more realistic prices for our products."

Marketing service

Meanwhile, a new marketing service allowing grain growers to guarantee a minimum price up to eighteen months in advance has been launched to fill a gap in ADASs chain of advice.

ADASgrain, formed in collaboration with independent grain broker Jeremy Cole (Talking Point, Nov 9), mirrors ADAS Directs input supply service at the other end of the production season, says Notts-based Andy Wells.

"We already help growers with buying and improving husbandry, but we also wanted to help them improve their marketing."

The latest service is underpinned by minimum price contracts and options which can provide stability for budgeting in an increasingly volatile market, says Mr Cole. &#42