Total traceability pays off
Total traceability pays off
Meeting stringent assurance
and traceability standards is
the name of the grain game.
Robin Cradock takes a look
at one co-operative store
that is turning the new
requirements to advantage
at home and abroad
TRACEABILITY lies at the heart of operations at Northumberland based co-op Coastal Grains. And it is total, not token, traceability.
Its exacting standards are gaining members a premium on the home market and have even won export orders to Finland, generally recognised as one of the most demanding markets in the world.
Starting in the spring each member completes a questionnaire giving the certification number of each lot of seed used in each field. Where farm-saved seed has been used, the certification number of the pilot stock is kept.
All field operations are then recorded to give details of pesticide and fertiliser use, including rate and date of application. When the crop is harvested the samples taken on arrival at the store are analysed and retained, not merely until it is sold out of store, but until it has been processed and sold by the end-user.
Many such procedures are now required by law or assurance schemes. But Coastal Grains was ahead of the field, starting in 1994 and developing and refining ever since. That has created a real market advantage, claims chief executive Terence Pardoe.
Today the 56 silos, with a total capacity of 85,000t of wheat, barley, pulses and oilseeds, hold over 45 grades of product, including 17 grades of barley and 21 of wheat.
"In a world awash with wheat, traceability and precise matching of product to consumer requirements is not just an option, it is essential," Mr Pardoe maintains. "And with lower prices every £ of premium we can obtain for our members becomes more significant.
"The reason we decided traceability was essential to our business stems from two events that happened to us at about the same time. Firstly, in 1994 I went to a two-day seminar run for marketing groups. Those attending ranged from marketing groups for cereals, potatoes, milk, salad crops, garlic and livestock to those processing and retailing those products.
"Before I went to the seminar I thought Coastal Grains was the greatest thing to happen to the arable sector of Northumberland and the Borders. I was soon corrected. I was told the grain trade was 30 years behind the rest of the food industry. It became quite clear that this was probably an understatement.
"Secondly, at the same time we had a silo of wheat that was being used to go into bread grist. This grade was a single variety grade and one particular customer did an electrophoresis test, to confirm the variety of wheat he was getting from us. We had passed similar tests in previous years, however, on this batch, at worst the silo was 86% pure, and at best 96% pure."
It was only because Coastal Grains could prove the problem had started in the field and not in the silo that it managed to stay on the buyers list. But the incident proved the need for an overhaul of procedures, putting quality control at the heart of the business.
Some members were initially hesitant when their responsibilities were outlined to them – especially when it was explained that if a load was incorrectly identified, so leading to contamination of a silo, the member would have to pay for the damage caused. Today they are much more relaxed about the scheme.
"Our members now really do feel part of the food chain, rather than being producers of a bulk commodity with little interest in the end-user," Mr Pardoe comments.
Coastal Grains can now advise farmers what grades end-users want so they can decide what varieties to grow. In almost every variety is a fall-back position to take a crop into another quality grade if it does not meet the best specification.
This year, for example, Riband was divided into five grades.
Segregation in store is vital, the Belford sites 56 silos varying in size from 130t to 5,000t. At harvest grain is dried through six dryers and then monitored in store until delivery to customers from Inverness to Norfolk and Northern Europe. It is always re-tested before despatch.
MEMBERSHIP DEAL
This year saw the launch of an annual membership scheme, allowing farmers to join without paying the normal production-related qualification loan fee. Purchasing a single share provided membership until the end of June 2000. Half a dozen new farmers joined and the deal is likely to be repeated next year, with membership offered to farmers from anywhere in Britain.
COASTAL GRAINS
• At Belford, Northumberland.
• 85,000t in 56 silos.
• ??? members.
• £???/t typical cost.
• Traceability key.
• 45 grades – 17 of barley, 21 of wheat.
• Markets supplied range from ??? to ???.
• Regular premiums.
Membership deal
This year saw the launch of an annual membership scheme, allowing farmers to join without paying the normal production-related qualification loan fee. Purchasing a single £1 share provides membership until the end of June 2000. Half a dozen new farmers joined and the deal is likely to be repeated next year, with membership offered to farmers from anywhere in Britain.
COASTAL GRAINS
• At Belford, Northumberland.
• 85,000t in 56 silos.
• 84 members.
• Traceability key.
• 45 grades – 17 of barley, 21 of wheat.
• Regular premiums.