Sugar beet harvest losses mount as Cantley fears deepen
© GNP Sugar beet growers face heavy harvest losses, while the NFU fears the planned closure of the Cantley factory could mark a retreat from British-grown sugar.
Speaking at the NFU Council at Stoneleigh HQ on Tuesday, 3 November, NFU Sugar Board chairman Kit Papworth warned that UK yields could average in the region of 65t/ha this season, compared with a five-year average closer to 75t/ha.
See also: Grower reaction to underwhelming sugar beet price offer
A punishing combination of drought, virus yellows and pest pressure, including the emergence of new threats such as beet moth and beet armyworm, has hit crops hard.
With harvesting under way since late September, some growers are facing losses so severe they will struggle to cover lifting costs.
“Some growers are reporting yields so low they will struggle to pay their harvesting bill this year,” Mr Papworth told the council.
NFU Sugar Board chair Kit Papworth © MAG/Philip Case
Cantley closure and import fears
These immediate agronomic challenges run parallel to deepening industry-wide anxiety following British Sugar’s July announcement that it intends to close the UK’s oldest sugar beet factory in east Norfolk after the current campaign.
The NFU has questioned whether the decision signals a reduced commitment to domestically grown beet, pointing to British Sugar’s carefully chosen wording, which specifies “ceasing beet production” at Cantley.
Mr Papworth warned this leaves the door open for the site to continue operating as a refinery using imported raw cane sugar, mirroring parent group ABF Sugar’s model at its Spanish business, Azucarera.
The NFU has also flagged the potential effect of the UK government’s autonomous tariff quota (ATQ), which allows an additional 325,000t of raw cane sugar to enter the country tariff-free.
The 2027-28 contract package
In his address, Mr Papworth also laid bare the intense financial stakes behind this year’s bitter contract negotiations with British Sugar, which narrowly averted a formal arbitration hearing in early October.
He noted that the arbitrator alone would have cost upwards of £2,000/hour, before factoring in legal teams and a four-day hearing.
While describing the resulting deal as “imperfect”, Mr Papworth presented the finalised 2027-28 contract options, giving growers structured choices depending on their risk appetite:
Fixed-price contract A one-year deal set at £28.50/t (down from £30/t for the 2026-27 crop), for up to 50% of contract tonnage
Market-linked contract A one-year deal featuring a guaranteed base price of £25.50/t, plus a market-linked bonus for up to 100% of contract tonnage
Index-linked contract Available for up to 50% of contract tonnage.
Additional package terms secured include:
Yield protection Available at a £0.90/t reduction on the fixed and market-linked bonus contract prices
Transport allowances Paid up to 60 miles for all factories, extending up to 75 miles for ex-Cantley growers
Additional growers’ perks An interest-free cash advance option, a late-delivery allowance and complimentary frost insurance.