Make more from a minimum price
SELLING wheat on minimum price contracts has enabled farmers using Cambs-based independent broker Agricole to lock into a minimum average of £62/t for this harvests grain.
Marketing in this way also means growers can plan realistic budgets and take advantage of any subsequent rises in the market, says founder Jeremy Cole.
Mr Cole markets about 30% of his members grain for a fee of £1/t, selling almost three-quarters of that on minimum price contracts.
Agricole had sold all committed grain by March 2002, averaging £67.45/t for October-November movement, £70.13/t for January-March and £74/t for April-June. This is after all fees and charges, with milling wheat premiums to be added on top.
"If you can see a profit, then what is wrong with locking into a minimum price?" asks Mr Cole. "Sell it and go and do something more interesting." *