Forward buying cake

Location
West Wales
I have one company who I deal with regularly that currently have an offering on the table.
Two others we deal with refusing to offer anything more than summer prices.
the one with the contract offer on the table had be one of the ones to add a charge onto their contracted prices previously which although didn’t catch me, doesn’t indicate many scruples.
I have heard on the grape vine that said company has bought very poorly so are scrabbling to contract for 12 months to average out prices.
We’d be looking in the £370-£410 region for a high spec dairy cake and a high protein blend to match maize.

im very torn, I suspect things will only go up but as of yet I don’t see a milk price to truly support the above. Also if they changed their contracted prices before what the hell is the point in the contract.

what have others done and what are others prices looking like?

Also can we forward buy diesel? 7-8k in diesel gone this month which is really biting! Might be handy to at least know our position
 

Milkcow365

Member
Location
Sw Scotland
I have one company who I deal with regularly that currently have an offering on the table.
Two others we deal with refusing to offer anything more than summer prices.
the one with the contract offer on the table had be one of the ones to add a charge onto their contracted prices previously which although didn’t catch me, doesn’t indicate many scruples.
I have heard on the grape vine that said company has bought very poorly so are scrabbling to contract for 12 months to average out prices.
We’d be looking in the £370-£410 region for a high spec dairy cake and a high protein blend to match maize.

im very torn, I suspect things will only go up but as of yet I don’t see a milk price to truly support the above. Also if they changed their contracted prices before what the hell is the point in the contract.

what have others done and what are others prices looking like?

Also can we forward buy diesel? 7-8k in diesel gone this month which is really biting! Might be handy to at least know our position
Do you lift fuel when contracting?
 
I have one company who I deal with regularly that currently have an offering on the table.
Two others we deal with refusing to offer anything more than summer prices.
the one with the contract offer on the table had be one of the ones to add a charge onto their contracted prices previously which although didn’t catch me, doesn’t indicate many scruples.
I have heard on the grape vine that said company has bought very poorly so are scrabbling to contract for 12 months to average out prices.
We’d be looking in the £370-£410 region for a high spec dairy cake and a high protein blend to match maize.

im very torn, I suspect things will only go up but as of yet I don’t see a milk price to truly support the above. Also if they changed their contracted prices before what the hell is the point in the contract.

what have others done and what are others prices looking like?

Also can we forward buy diesel? 7-8k in diesel gone this month which is really biting! Might be handy to at least know our position
I was concerned by our 1800 quid on fuel
 
Location
West Wales
Do you lift fuel when contracting?

not normally but depends on how many acres. Less than 100 and you spend all you time faffing around. Also tend to find you end up on outlying land so not worth going back on yourself.
I was concerned by our 1800 quid on fuel
Silage
Maize establishment
Wholecrop establishment
Lime

sadly all drains it.

mowers drained a tank of diesel on 120 acres 🤦‍♂️
 

vantage

Member
Livestock Farmer
Location
Pembs
mowers drained a tank of diesel on 120 acres 🤦‍♂️
Don’t know the size of your tank, but we used to use 1/2 gallon of diesel per acre. Couldn’t tell you what it would be now as the meters not on the tank. With the price of fuel, contractor’s tractors should be brimmed full before starting, either their own bowser or metered from the farm tank and charged.
 
Location
West Wales
Don’t know the size of your tank, but we used to use 1/2 gallon of diesel per acre. Couldn’t tell you what it would be now as the meters not on the tank. With the price of fuel, contractor’s tractors should be brimmed full before starting, either their own bowser or metered from the farm tank and charged.
Not a clue it’s a jd 215r with triple mowers.

we took diesel with a bowser to him in the field in order to reduce him having to waste more coming home
 

pappuller

Member
Livestock Farmer
Location
M6 Hard shoulder
I have one company who I deal with regularly that currently have an offering on the table.
Two others we deal with refusing to offer anything more than summer prices.
the one with the contract offer on the table had be one of the ones to add a charge onto their contracted prices previously which although didn’t catch me, doesn’t indicate many scruples.
I have heard on the grape vine that said company has bought very poorly so are scrabbling to contract for 12 months to average out prices.
We’d be looking in the £370-£410 region for a high spec dairy cake and a high protein blend to match maize.

im very torn, I suspect things will only go up but as of yet I don’t see a milk price to truly support the above. Also if they changed their contracted prices before what the hell is the point in the contract.

what have others done and what are others prices looking like?

Also can we forward buy diesel? 7-8k in diesel gone this month which is really biting! Might be handy to at least know our position
Fixed maize gluten nov-apr £356
 

Blue.

Member
Livestock Farmer
I have one company who I deal with regularly that currently have an offering on the table.
Two others we deal with refusing to offer anything more than summer prices.
the one with the contract offer on the table had be one of the ones to add a charge onto their contracted prices previously which although didn’t catch me, doesn’t indicate many scruples.
I have heard on the grape vine that said company has bought very poorly so are scrabbling to contract for 12 months to average out prices.
We’d be looking in the £370-£410 region for a high spec dairy cake and a high protein blend to match maize.

im very torn, I suspect things will only go up but as of yet I don’t see a milk price to truly support the above. Also if they changed their contracted prices before what the hell is the point in the contract.

what have others done and what are others prices looking like?

Also can we forward buy diesel? 7-8k in diesel gone this month which is really biting! Might be handy to at least know our position
It’s hard work forward buying straights as nobody wants to sell them in case they sell too cheap,I imagine compounders are finding it hard to forward buy also.
 
I have one company who I deal with regularly that currently have an offering on the table.
Two others we deal with refusing to offer anything more than summer prices.
the one with the contract offer on the table had be one of the ones to add a charge onto their contracted prices previously which although didn’t catch me, doesn’t indicate many scruples.
I have heard on the grape vine that said company has bought very poorly so are scrabbling to contract for 12 months to average out prices.
We’d be looking in the £370-£410 region for a high spec dairy cake and a high protein blend to match maize.

im very torn, I suspect things will only go up but as of yet I don’t see a milk price to truly support the above. Also if they changed their contracted prices before what the hell is the point in the contract.

what have others done and what are others prices looking like?

Also can we forward buy diesel? 7-8k in diesel gone this month which is really biting! Might be handy to at least know our position

All the raw materials in any cake can be bought ahead of time on contract - I used to get daily emails from all the importers and suppliers and grain etc was only a phone call away. Even the molasses. These are big companies buying in millions of tonnes of stuff and they have a shipping or production schedule extending months into the future- they have to move tonnes because the margins on these commodities is actually tiny so it's all volume based.

A company should be able to offer you a fixed price for a known duration between the months of May-Sept and then Oct-Apr 23 and possibly even May-Sept 23 because they will have the exact same price lists I used to have in front of me. They add their haulage cost, their milling cost, their margin and they can work out the finished price.

A contract where they can voluntarily alter the formulation or price isn't worth a damn to anyone.

In an absolutely ideal world a compounder would have 100% of their volume on contract- it totally reduces the risk to them- it never mattered a jot to me if say wheat was £100 a tonne or £200 a tonne- my margin remained constant. Of course, the farmer had to sign on the line and return the contract and then accept his predicted tonnage, which I then went away and bought on his behalf- you would be a total gambler to not fix the materials on the day the stuff was sold.
 
not normally but depends on how many acres. Less than 100 and you spend all you time faffing around. Also tend to find you end up on outlying land so not worth going back on yourself.

Silage
Maize establishment
Wholecrop establishment
Lime

sadly all drains it.

mowers drained a tank of diesel on 120 acres 🤦‍♂️
Either a small tank or very inefficient.
3m moco Fendt 312 10 acres /hour , tractor says 12/14 litres hour, not heavy crop but most of the diesel is used moving the tractor and mower, not cutting. use goes up by a litre/hour with every extra km/hour above 15 km/h.
 

SFI - What % were you taking out of production?

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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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