Barley sub £200

DeeGee

Member
Location
North East Wales
This is why, some months ago, when there was talk of £300/tonne for grain this harvest I kept my forward budgets at nearer £220/ tonne.

Have yet to combine spring barley, not ready anyway; but whereas I never expected £300 or even £250; I certainly won’t be selling anything below £200. Hope for the best, but expect the worst.

Always budget on the high side for inputs and on the low side for returns.

But if it stays at about £200 I won’t be in a hurry to buy seed for 2023.
 

Mr Tree

Member
Location
Sth Yorkshire
Surely you could deliver a respectable gross margin with today's input costs if you forward sold barley at 197 per t?
If I was just farming which luckily I’m not then no I couldn’t.
If I was to take a reasonable living ,had a mortgage on my home an FBT agreement on my holding and a family the return would be derisory.

Unless of course I’d been fortunate enough to have had the family farm bought and paid for a generation or so ago!

If again you are unlucky enough to have an FBT rent and you need to purchase machinery using asset financing etc then barley at £197 on ordinary land yielding very average there’s no room for any investment and certainly little net profit.

As I say luckily or maybe fortunately I’ve got several different income streams I’ve built over a 25 year period of farm so the farm is just to tick over but I really do think at these levels and the return on investment then FBT farmer is on borrowed time!

PS
I bought fertilser at £635 for this years wheat plantings and Agrii rep told me yesterday that if we bought today it’s now mid to late £800’s !
 

Humble Village Farmer

Member
BASE UK Member
Location
Essex
This is good news for the livestock boys.

Every year the trade hoovers up all the winter barley at harvest and at the lowest price of the year, puts it on a boat and gets rid of it.

They then spend the rest of the year importing rain forest products to sell to UK ag.

The phrase "cutting out the middle man" has never been more appropriate
 
Last edited:

Green oak

Member
Arable Farmer
Location
Essex
This is good news for the livestock boys.

Every year the trade hoovers up all the winter barley at harvest and at the lowest price of the year, puts it on a boat and gets rid of it.

They then spend the rest of the year importing rain forest products to sell to UK ag.

The phrase "cutting out the middle man" has never been more appropriate
If I was into livestock and needed barley I’d be buying my requirement up right now. £40 higher than last September prices. There’s going to be demand for barley because seems to me everyone has grown wheat this year.
 

NLF

Member
If I was just farming which luckily I’m not then no I couldn’t.
If I was to take a reasonable living ,had a mortgage on my home an FBT agreement on my holding and a family the return would be derisory.

Unless of course I’d been fortunate enough to have had the family farm bought and paid for a generation or so ago!

If again you are unlucky enough to have an FBT rent and you need to purchase machinery using asset financing etc then barley at £197 on ordinary land yielding very average there’s no room for any investment and certainly little net profit.

As I say luckily or maybe fortunately I’ve got several different income streams I’ve built over a 25 year period of farm so the farm is just to tick over but I really do think at these levels and the return on investment then FBT farmer is on borrowed time!

PS
I bought fertilser at £635 for this years wheat plantings and Agrii rep told me yesterday that if we bought today it’s now mid to late £800’s !
Fair point. I wasn't allowing for rent and last time I looked at the numbers I used a fert number closer to 600.
 

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