Farming without subsidy.

Derrick Hughes

Member
Location
Ceredigion
Didn't you post in here before Clive that your family received millions of litres of milk quota free from the government back in the 80's just before you packed up milking which you then sold for serious money??

Which is a sub just like the BPS at the end of the day.

And as for NZ, utter disaster for farming over there when subs were pulled overnight and one of the only reasons the NZ livestock sector has survived is because they have far lower welfare/ red tape rules than the UK.
A lot packed up milking after they saw what their quota was worth and a lot like us were awarded very little and had to buy to stay in business .just like we had to when sheep quotas came in . Spent over £40,000 To buy quota for sheep we already had of people who had gone out of sheep the year before . It's was like a blxxdy circus
 

bobk

Member
Location
stafford
Who knows is the only answer to that

If I hadn’t farmed through subsided times would price’s / rents have been different ?

All I do know is that I’m not at all scared of change or loosing subs - whatever happens I will find a way to live as I want to somehow, always have and always will

Easy for you to say, farming decent soil in south staffs , how do you fancy a mountain in Wales or Scotland
 

Clive

Staff Member
Arable Farmer
Location
Lichfield
Easy for you to say, farming decent soil in south staffs , how do you fancy a mountain in Wales or Scotland

my soil is nowhere near as decent as a lot of other UK arable soils, I can only dream of the yield many others on this forum post most years ! I don't complain though I just do the best with what I have and farm it to realistic expectations with fixed cost structure and inputs to match

anyone can be a victim but I really can't see Wales not producing food in the future - things will be difference but that may not be a bad thing considering I doubt there are many Welsh hill farmers making millions today ?

Don't fear change - embrace it ! Change is usually good and for the better even when you can't see it at the time
 
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Agrispeed

Member
Location
Cornwall
over there when subs were pulled overnight and one of the only reasons the NZ livestock sector has survived is because they have far lower welfare/ red tape rules than the UK.

Thats not the opinion of people who actually farm in NZ. What are these lower welfare standards in NZ everyone mentions?

drivel, farming can be a game of luck especially this year some got next to no rain and have poor crops/fodder/straw shortages, other have had big losses with the snow in the spring, you need a reality check why would any young blood want to come into an industry with such poor returns especially if subs go it will be a case of "surviving" noone will earn good money on average land

And what methods do most farmers do to mitigate this? There are ways of making a business more resilient to drought, floods, or anything else, but that seems to be largely ignored in the UK as its 'too much work'. Everyone complains about poor income but very few are actually proactive either in being progressive and trying new methods or in improving prices they receive.

I'm young - I'm 24 and run my own business, which I started in 2016, previously I managed a farm whilst doing a BSc, I then took out a private loan (as banks were not interested) of over 10x what I actually had in cash and started my own business. I could pay that loan off at the end of this lactation if I so wished (without any subsidies). Yet I am told over and over again that there is no money in farming, and no young blood would want to go into the industry. Do you not think that is because everyone is telling them they don't want to? Farming is as profitable as you make it.
 

Clive

Staff Member
Arable Farmer
Location
Lichfield
Didn't you post in here before Clive that your family received millions of litres of milk quota free from the government back in the 80's just before you packed up milking which you then sold for serious money??

Which is a sub just like the BPS at the end of the day.

And as for NZ, utter disaster for farming over there when subs were pulled overnight and one of the only reasons the NZ livestock sector has survived is because they have far lower welfare/ red tape rules than the UK.

we sold quota when we gave up milking yes (not "serious money") though we were only a small heard and were having to lease a lot of quota (why we sold up really), the values of the cow and kit at the time was more significant and initialy funded my ambition to go contracting and grow the arable side of the business from a small 300ac part owned part tennanted unit to what it is today................and I really never did like cows much either !

I've received loads of subsidy over the years, that's simply the environment my farming career to date has taken place wthin, I make no apology or excuse for that. Im pretty sure if those subs had not existed through that time I would have paid a lot less rent, lower machinery prices and received more for my produce over the same time instead

If Governments want to distort markets there is nothing I can do about it but pay the game really is there
 
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milkloss

Member
Livestock Farmer
Location
East Sussex
Thats not the opinion of people who actually farm in NZ. What are these lower welfare standards in NZ everyone mentions?



And what methods do most farmers do to mitigate this? There are ways of making a business more resilient to drought, floods, or anything else, but that seems to be largely ignored in the UK as its 'too much work'. Everyone complains about poor income but very few are actually proactive either in being progressive and trying new methods or in improving prices they receive.

I'm young - I'm 24 and run my own business, which I started in 2016, previously I managed a farm whilst doing a BSc, I then took out a private loan (as banks were not interested) of over 10x what I actually had in cash and started my own business. I could pay that loan off at the end of this lactation if I so wished (without any subsidies). Yet I am told over and over again that there is no money in farming, and no young blood would want to go into the industry. Do you not think that is because everyone is telling them they don't want to? Farming is as profitable as you make it.

You’re not too special in this circumstance: the dairy boys aren’t too worried about subs. Loads of cash in the job............at the minute.
 

Derrick Hughes

Member
Location
Ceredigion
An interesting fact is that in the 50s and early 60ts nearly a million hectares was lost to Forestry, a lot of that being in Welsh Uplands and Many acres around here . Farmers found this land uneconomic to farm . I believe from memory they were buying at £13 / acre , it was only when grants came in to improve this type of land that plantings stopped
 
Location
Devon
we sold quota when we gave up milking yes (not "serious money") though we were only a small heard and were having to lease a lot of quota (why we sold up really), the values of the cow and kit at the time was more significant and initialy funded my ambition to go contracting and grow the arable side of the business from a small 300ac part owned part tennanted unit to what it is today................and I really never did like cows much either !

I've received loads of subsidy over the years, that's simply the environment my farming career today has taken place wthin, I make no apology or excuse for that. Im pretty sure if those subs had not existed through that time I would have paid a lot less rent, lower machinery prices and received more for my produce over the same time instead

If Governments want to distort markets there is nothing I can do about it but pay the game really is there

My point is/was is that you are saying that no one should get subs now and if they cant cope then tough whilst you have pocketed hundreds of thousands of ££s in subs one way or another.

All the subs you have received have helped grow your business into the large concern it is today so a tad ironic that you are now saying no one else should be getting them!
 

Clive

Staff Member
Arable Farmer
Location
Lichfield
My point is/was is that you are saying that no one should get subs now and if they cant cope then tough whilst you have pocketed hundreds of thousands of ££s in subs one way or another.

All the subs you have received have helped grow your business into the large concern it is today so a tad ironic that you are now saying no one else should be getting them!

no what I'm saying is subs have just moved the goal posts for me in the same ways they have for every other farmer I compete against (and make mistake we are all competing with each other) - higher rents and lower commodity prices are the result of subs, every acre I have ever rented has had its price inflated or not by its ability to claim sub - the land owner not the farmer has been the ultimate winner I guess

if one farmer gets subs we all need subs, if no farmer gets subs we don't need them. What the sub really does is hand control over food supply to others ......... a pretty shrewd move by any government IMO and not something I see them letting go of if they can avoid it !

food will continue to be produced but things will be different and hopefully better in the long run
 

spin cycle

Member
Location
north norfolk
New Zealand still has farmers

in a lot of cases only because they've taken on a lot of debt...i googled it all a while back.....in short their debt is 20 times their annual output....ours is six

sometimes they've got 100 yr mortages

after the last dairy downturn nz banks want farmers to pay debt back and build up cash buffers for the next downturn

ever since subs went there have periodic attempts to bring in a 'farm debt mediation bill' to protect farmers from the banks.....it finally seems it's going to happen

they've also had lower environmental regulation which is about to change...this is going to need investment but are the banks going to lend more given the already indebtness and 'mediation bill'

in short kiwi farmers have 'played the game of their lives' in terms of efficiency but will/has it been enough?

this nz farming is rosy myth needs debunking
 

lloyd

Member
Location
Herefordshire
no what I'm saying is subs have just moved the goal posts in the same ways they have every other farmer I compete against (and make mistake we are all competing with each other) - higher rents and lower commodity prices are the result of subs, every acre I have ever rented has had its price inflated or not by its ability to claim sub - the land owner not the farmer has been the ultimate winner I guess

if one farmer gets subs we all need subs, if no farmer gets subs we don't need them

food will continue to be produced but things will be different and hopefully better in the long run

We are in a worldwide marketplace as you are fully aware.
large quantities of maize are/will be heading here now which
is having an effect on uk wheat price so removing subsidies and
perks would only work if it was a globally fair system ?
 

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