Frontier Fengrain tie up??

[Farmer-George]

Are you sure of your figure re ADM ? After A quick look on Companies house.

ADM Milling LTD.
Showing a loss of 2,052,321 / 2017.

There's other companies with ADM in their name.

If I’m wrong then hands up. I searched for Archer Daniel Midlands UK limited.

 

[Clive]

Surely it’s a bit pointless looking a numbers for the likes of Frontier and ADM In the UK when their UK operation is a tiny pimple of what either are globally ?

 

[Andrew K]

To my mind, the big hitters league will want to get bigger still in the desire to keep increasing their market share and therefore keeping investors/lenders/credit ratings/general clout at a certain strategic level. The middle/smaller players in turn can make headway by concentrating on keeping their farm suppliers on board so as to supply the big league in the wholesale global grain markets.

Margins have always been poor for the time, money, and effort expended at all levels in the grain trade for decades, and from time to time an individual grain business will realise this, and throw in the towel and merge/take the money offered to sell up. Its worrying that a business like Fengrain with all the paid for added value opportunity of a central store decide they are not sustainable.

Fengrain lost alot of money on bad business decisions not grain trading losses.

 

[Widgetone]

Fengrain lost alot of money on bad business decisions not grain trading losses.

can you elaborate on that please?

 

[Andrew K]

can you elaborate on that please?

Crisps Maltings

 

[Baling Hay]

Fengrain lost alot of money on bad business decisions not grain trading losses.

Mmmmmmmmmmmm, probably both....

 

[Andrew K]

Mmmmmmmmmmmm, probably both....

Are you a member?

 

[Farmer-George]

Everyone who’s ever sold to them is a member essentially.

 

[two-cylinder]

Everyone who’s ever sold to them is a member essentially.

Maybe in the early days?
But in recent years I know of lots of people who have sold to them but are not members.

 

[Baling Hay]

Everyone who’s ever sold to them is a member essentially.

Does that include all the middle market trade that Fengrain was doing with other merchants? Until other merchants would no longer sell to them because of credit?

 

[Farmer-George]

We paid a £10 lifetime membership a long time ago. Not sure if that’s still the case.

 

[JonT]

If I’m wrong then hands up. I searched for Archer Daniel Midlands UK limited.

ADM Milling is the flour milling business (which sprung up after they acquired some of the ex-Spillers flour mills from RHM due to a Competition Commission ruling). Has been loss making for years!

 

[Hooch]

What do storage members think to the storage bill for 2018 and 2019 ?