Can some explain to me the difference between "marketing grain" and "selling grain"
strikes me the differbee is nothing more than an excuse to charge a fee !
For us mere peasants it’s the same as the difference between dinner and lunch
Can some explain to me the difference between "marketing grain" and "selling grain"
strikes me the differbee is nothing more than an excuse to charge a fee !
There was an agent provocateur, Bruce Ferguson, in 2 of the Scottish stores who has strangely now moved to Frontier. There’s some back room shenanigans in this.
https://www.pressandjournal.co.uk/fp/business/farming/435172/undefined-headline-263/
What does the farmer gain from having one company do their marketing?
Its surely a lovely gig to get for a grain trader to have exclusive deal?
That company has a selling point - lots of grain with a careful control of specification. Making a premium out of it is the hard bit & looks like Angus failed to do so. Merchant Bloggs can buy from several farmers & hopes that they all send in stuff that meets the spec. The CS needs to add enough value to cover their costs and that of the marketing agent.
There is no way that they can gain enough selling malting barley (in Scotland) to cover the excessive costs. They are basically selling to a cartel. The ex farm price is set by the big buyers- just read the malting barley price threads.
Openfield sent out a letter to their members yesterday confirming that they had bought the AC site. Don't know what they will fill it with because I can't see many farmers in this area rushing to deal with them.
On any given day the price of group 1 milling will be the same for me as a CS because group 1 is group 1 so I got get this increasing value bit. If I’ve got feed wheat then it’s feed wheat not milling.
The price difference will be down to location which is something none of us can control.
And you are paid on what you deliver to a CS so how do I get my feed wheat valued as milling wheat please?
What have openfield actually done wrong? they put in an offer to keep the farmers their space but was rejected, so they waited for the receiver to sell it to them, I presume any of the farmers could have bought the whole lot off the receiver?
As I understand it Openfield is a co-op -if I was a happy Openfield member I would be asking why they have bought in.What have openfield actually done wrong? they put in an offer to keep the farmers their space but was rejected, so they waited for the receiver to sell it to them, I presume any of the farmers could have bought the whole lot off the receiver?
Your shed sounds good value. Now put another new one up for £80/t for another block of land you've got for a 3 year CFA. You might have the land for longer but you've got to tender for it again in 3 years. Can you justify that or do it for £80/t? I doubt it. There is little alternative use for the shed if you lose the extra land after 3 years apart from storing caravans and you'll need planning permission to change the use.
Miss sold the project to start with.
Mismanaged AC
'Marketed' barley very badly.
The 'offer' to save AC needed members to continue guaranteeing to supply grain, paying annual charges for no benefit other than quick movement.
The members rightly took the decision the 'Your first loss is your best loss'
I put wheat in a long pool with UCoS and it was mostly sold pre harvest - price rose through the year and I loaded it at £20 below market. I have since marketed my cereals myself. I know markets are volatile but I had made my own sales early in the season expecting the pool to reflect the delivery period.Does anyone remember ucos (united cereals of Scotland)?
Another great plan to grab an extra £. Problems I recall were.
1) they were to greedy to quick, trying to justify there purpose.
2) the big buyers (diageo, etc) thought stuff this ever happening. We need to call the shots. So they refused to buy anything from them and import instead. Didn't matter how much it cost them, as long as they broke ucos.
Which they did with great success.
Central storage to make best use of quality works, central storage to extract a few extra ££ does not.
Openfield and there staff were behind the project from the start. They sold the idea. Money was paid to AC. Openfield staff originally managed the project and site.So Openfield sold the space, not AC?
Malting barley is near enough a monopoly, so the big buyers will spend whatever it takes to break a farmer co op.Does anyone remember ucos (united cereals of Scotland)?
Another great plan to grab an extra £. Problems I recall were.
1) they were to greedy to quick, trying to justify there purpose.
2) the big buyers (diageo, etc) thought stuff this ever happening. We need to call the shots. So they refused to buy anything from them and import instead. Didn't matter how much it cost them, as long as they broke ucos.
Which they did with great success.
Central storage to make best use of quality works, central storage to extract a few extra ££ does not.
Malting barley is near enough a monopoly, so the big buyers will spend whatever it takes to break a farmer co op.
The only solution is PGI status for scotch whisky/scottish malting barley, to stop cheap imports screwing us down.
Scotch Barley could be valued at £350/t and it wouldnt make a jot of difference to the whisky industry.
But could you resell the CS space after 3 years? I want to hear from a member who actually has done and at what profit.
Yes, but the price hasnt.Ironically this year worldwide weather(mostly drought conditions) has taken control of this market from the big buyers especially with a one in 38000 year drought in Scandinavia. Normally buyers here have Danish barley to import if the price seems high or quality poor here. This year they are having to use any Scottish barley they can find and the goalposts on quality have moved quite a bit.