Another farmer co-op goes under

Grain Buyer

Member
Location
Omnipresent
Fengrain have just spent a lot on a new store next to Crisp Malting at Great Ryburgh & setting up a new office in Kent. It has hardly been a vintage year for the grain trade either - Openfield, Glencore & Cofco (Nidera) all posting big losses.

https://www.fwi.co.uk/business/farmer-owned-fengrain-posts-2-5m-pre-tax-loss


trouble is, they were all blaming a poor export year on their losses. Looks like Glencore have started importing feed stuffs to bolster their book. With another low harvest figure have others changed tack?
 

bankrupt

Member
Location
EX17/20
the MD, CEO whatever and Chairman select “good sorts” who will tow the line and not be too problematic. Add in some nice lunches and key supplier days and it’s a cosy little relationship ...… :whistle:


I'm more than happy to take this as a reasonably satisfactory explanation as to why I've never been asked.

:whistle::whistle:
 

Brisel

Member
Arable Farmer
Location
Midlands
trouble is, they were all blaming a poor export year on their losses. Looks like Glencore have started importing feed stuffs to bolster their book. With another low harvest figure have others changed tack?

Is it basically down to the tonnage traded? Less tonnes = less margin? I appreciate that the management has to be good too.
 

Banana Bar

Member
Arable Farmer
Location
Bury St Edmunds
we did as you do get store losses, shrinkage due to ventilation - if it had been 2% though I would be a VERY rich man though - merchants allowed us 0.2% !!!! (which was very tight)

Some stores do VERY well out of exaggerated shrinkage levels Im sure

Agree absolutely on this point. I’ve heard lots of bull spouted on this.
 

If you look at companies house it’s not a glowing picture. So many companies are loosing money and their accounts are scary reading.

It’s free to look at, I like to take a look at all the companies I deal with. It’s not just selling, buying is important too! You buy some inputs right and they go belly up that could leave you a few pound notes wrong to!
 
I’ve stopped selling to them

Mmmm, if you are worried about the world's biggest commodity trader with a profit of over 1 Billion USD last year, who the heck do you trade with? A quick look at google finance shows the sheer size of the company.

Find it strange that so many farmers don't understand the business of their customers (merchants) they sell to. Gleadell is part owned by ADM so I would consider that safe, Frontier is owned by Cargill and ABF so very safe, ADM Direct is well ADM and Glencore is Glencore.

Now compare these massive successful companies to some others in the UK trade and there is a stark difference.

upload_2018-10-19_23-12-2.png
 

Banana Bar

Member
Arable Farmer
Location
Bury St Edmunds
Mmmm, if you are worried about the world's biggest commodity trader with a profit of over 1 Billion USD last year, who the heck do you trade with? A quick look at google finance shows the sheer size of the company.

Find it strange that so many farmers don't understand the business of their customers (merchants) they sell to. Gleadell is part owned by ADM so I would consider that safe, Frontier is owned by Cargill and ABF so very safe, ADM Direct is well ADM and Glencore is Glencore.

Now compare these massive successful companies to some others in the UK trade and there is a stark difference.

View attachment 729174

Just my view or call it a hunch if you want.
 

SFI - What % were you taking out of production?

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  • 75-100%

    Votes: 3 1.6%
  • 100% I’ve had enough of farming!

    Votes: 5 2.7%

Red Tractor drops launch of green farming scheme amid anger from farmers

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As reported in Independent


quote: “Red Tractor has confirmed it is dropping plans to launch its green farming assurance standard in April“

read the TFF thread here: https://thefarmingforum.co.uk/index.php?threads/gfc-was-to-go-ahead-now-not-going-ahead.405234/
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