Standing Wheat straw now well over £200/acre in the SW

fudge

Member
Arable Farmer
Location
Lincolnshire.
Like straw fired power stations, mushroom compost producers, AD is another consumer of straw so your statement is partly true as they put a floor in the market in the East. Their demand is constant, so the straw auctions and FW tables of prices are the true price discovery mechanisms in the market, hence;



(y)(y)(y)

Edited to add; If the AD/compost/power demand is constant, the herd instinct of livestock producers to buy more than usual due to the unfortunate circumstances this year (longer winter, low forage yields & current drought) is what is driving the price! Blame whatever or whoever you like, GUTH, but price is a function of supply and demand. It's school-level basic economics.
Oh I see more voodoo economics. The subsidy to people who generate electricity through the use of biomass is driving up the price of straw. Why does government policy always favour the strong such as large scale landowners and those near monopolists, the utility companies, I wonder? Your supply and demand mumbo jumbo is just a smokescreen to justify another government policy which aids the rich at the expense of the majority.
 

marshbarn

Member
Location
shropshire
Dwindling grass raises fears of winter fodder crisis

Yeomans-Farm-c-Sarah-Yeomans.jpg
Scorched fields on John Yeomans’ farm near the Welsh border
After a difficult winter and recent prolonged dry spell, farmers are on the verge of a serious fodder crisis because of stunted grass growth.

Following two months of scorching weather, grass growth has almost ground to a halt and many livestock farmers across the country are already being forced to eat into autumn feed supplies.

The NFU estimates that grass silage stocks are down by 66% so far this season and many farmers are buying in alternative feed, which is driving up costs and affecting profits.

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AHDB study shows how drought could hit milk margins
 

Iben

Member
Arable Farmer
Location
Fife
Stopping the straw burners for a year won't make a huge difference to stock farms. But will cripple these businesses, making the whole situation even worse.
 

fudge

Member
Arable Farmer
Location
Lincolnshire.
Stopping the straw burners for a year won't make a huge difference to stock farms. But will cripple these businesses, making the whole situation even worse.
Iben these “businesses” made their investment decisions in the full and certain knowledge that their enterprise depends entirely on a sub. A one year delay in that is entirely reasonable.
 

Iben

Member
Arable Farmer
Location
Fife
You can't expect someone to shut there business down for a year because livestock farms are having a one year in forty problem.

Maybe look at it another way. For decades, straw has been taken for a negligible amount, with the haulage costing way more than the value of the straw.

If a reasonable price had been paid to the farmer for it, every chance these straw burners would never have been built? Even taking the subsidy into account.
 
Given the exceptional circumstances outlined above there is a clear argument for the government to suspend subsidies paid to straw burners for this season.

The government are going to have 2 easy quarters anyway with this because anybody using a straw burner to create heat in the hottest summer since 76 is having a laugh.
 

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