Meeting with AHDB about cereals assurance: What do you want us to say?

[Steevo]

On Friday 19th, a group of farmers from TFF are meeting AHDB Cereals & Oilseeds to discuss market access for our grain.

If you want us to raise any issues, please let us know in this thread, so we can take those points to AHDB.

We are of the opinion that our concerns have not been voiced by our industry representatives, and so we are representing ourselves.

We feel that AHDB's £250k annual payment and other assiciations with Red Tractor has contributed to the compromising of market access for levy payers who are not RT/SQC assured.

We now want AHDB to redress this situation, and develop market access for levy payers which increases our competitiveness versus imports, being mindful that imports do not have any requirement to be farm level assured to access many of our UK markets.

We are aware that NFU are closely associated with RT. We are aware that AHDB are closely asociated with RT. We are aware that AIC are closely associated with SQC. We have reservations about these associations.

We believe the fact that RT is the base standard for many grain markets reduces the ability for RT grain to achieve a price premium, yet causes non-assured grain to trade at a price penalty to imports. We feel that changing this structure can give UK producers better and lower cost market access, with the ability to add value to our grain.

Please add any comments you wish to be discussed and taken to our levy board.

Sounds like you have the right attitude to it and have done all along.

Confronting them with facts and arguments will only make them hostile and drive them further away. Holding them to account would be like nailing jelly to the wall.

Turkeys will only vote for Christmas if they know they won’t get eaten. It may also help if they get to eat the goose.

 

[bobk]

There's only one way to stop this gravy train , all out , cancel all d/d to the lot ,

This will hit their bank within 24 hours , we haven't actually quit but the future payments with these organisations will disappear over night

A legitimate cyber attack , learned everything I know from Vlad ,

 

[An Gof]

Other than farm to farm trading ,is there any way of not paying the levy.
If there was and everyone did it we could soon start to make AHDB get tucked up.

Levy is due on Farm to Farm trading ......... technically

 

[bobk]

Need to attack the organ grinder , not the monkey

 

[Grass And Grain]

Why is it OK/safe to feed home grown grain to RT stock but send the same grain to a mill and it must be assured?

Is it fair that levy payers money has been spent creating this unfair system which discriminates against the smaller producer?

I think just nicely over 20,000 RT/SQC farmers, but 47,000 cereal growers in total.

That's well over half of farmers who cannot currently sell grain to a feed mills.

 

[An Gof]

Thanks, yes, think the trade pay £0.05/t, so as you say AHDB don't just work for farmers. They have to consider everyone.

No, the rates are here .... make sure you have the basic facts correct.

Sector

Levy rates 2019/20

Levy rates 2020/21

Higher rate for late payment

Cereals and oilseeds (UK)	Pence per tonne	Pence per tonne	Pence per tonne
Cereal grower	46.00	46.00	50.60
Cereal buyer	3.80	3.80	4.18
Cereal processor (human and industrial)	9.50	9.50	10.45
Cereal processor (feed)	4.60	4.60	5.06
Oilseeds	75.00	75.00	82.50

 

[bobk]

No, the rates are here .... make sure you have the basic facts correct.

Sector

Levy rates 2019/20

Levy rates 2020/21

Higher rate for late payment

Cereals and oilseeds (UK)	Pence per tonne	Pence per tonne	Pence per tonne
Cereal grower	46.00	46.00	50.60
Cereal buyer	3.80	3.80	4.18
Cereal processor (human and industrial)	9.50	9.50	10.45
Cereal processor (feed)	4.60	4.60	5.06
Oilseeds	75.00	75.00	82.50

That doesn't make it better money for old rope

 

[ajd132]

Collective myself and my customers are paying about 4-6k a year depending, that’s more than I realised.

 

[Humble Village Farmer]

Collective myself and my customers are paying about 4-6k a year depending, that’s more than I realised.

Like the dead tractor, it's priced just low enough to not startle to when you see it on the paperwork but enough to be a significant amount.

 

[Grass And Grain]

Sounds like you have the right attitude to it and have done all along.

Confronting them with facts and arguments will only make them hostile and drive them further away. Holding them to account would be like nailing jelly to the wall.

Turkeys will only vote for Christmas if they know they won’t get eaten. It may also help if they get to eat the goose.

Everyone is happy to do a deal if there's a mutual benefit.

We ask AHDB to amend the passport so we can sign a declaration of legal pesticide applications.

AHDB may offer to create a system where we upload our current NSTS number, PA1,PA2 etc. We can upload a pesticide application record. Costs diddly squat. AHDB get this assurance method accepted by the trade.

Benefit to levy payers is less costly market access.

Benefit to AHDB is we don't trigger a ballot. In fact we're now actively wanting the continued existence of AHDB to run this for us. Farmers now love AHDB.

Who won't want this? RT, as they might lose some farmer members. SQC, for same reasons. AIC, as they are one of the members of SQC. NFU, as they are guarantors to RT.

So what will happen?

We'll find out if AHDB's main focus is to work to the best of their ability in the interests of the levy payers, or if they are more aligned to RT, NFU, AIC, SQC. We might find out if NFU will put farmers first or RT first.

We'll also find out if NFU, RT, AIC, millers, maltsters, oilseed crushers, etc are prepared to throw AHDB under the oncoming bus.

One danger is the millers, trade, maltsters etc see no value in their AHDB levy, would rather not help, and prefer to see them gone.

 

[ajd132]

Like the dead tractor, it's priced just low enough to not startle to when you see it on the paperwork but enough to be a significant amount.

It’s quite a lot of money. My memberships to various independant agronomy groups is about 1/3rd of that and I get more out of them to be honest.
AHDB do loads of good research but are schockingly bad at presenting it in a way anyone other than a scientist can understand.

 

[Humble Village Farmer]

It’s quite a lot of money. My memberships to various independant agronomy groups is about 1/3rd of that and I get more out of them to be honest.
AHDB do loads of good research but are schockingly bad at presenting it in a way anyone other than a scientist can understand.

Agree it's a lot of money, but 46 pence a tonne doesn't sound too frightening.

 

[bobk]

Agree it's a lot of money, but 46 pence a tonne doesn't sound too frightening.

What do you get in return , Moulin ......

 

[Grass And Grain]

I'd rather AHDB turn up to the meeting being able to answer questions or give some indication of what they can or can't do to help, or if they will/won't help. We'll make faster progress by entering the meeting having had time to think. Hence why the thread might be useful.

 

[homefarm]

No, the rates are here .... make sure you have the basic facts correct.

Sector

Levy rates 2019/20

Levy rates 2020/21

Higher rate for late payment

Cereals and oilseeds (UK)	Pence per tonne	Pence per tonne	Pence per tonne
Cereal grower	46.00	46.00	50.60
Cereal buyer	3.80	3.80	4.18
Cereal processor (human and industrial)	9.50	9.50	10.45
Cereal processor (feed)	4.60	4.60	5.06
Oilseeds	75.00	75.00	82.50

Hi

I always knew the trade paid as well, but do they only pay once?.

If the cereal buyer pays do processors pay again when they buy it off a trader ?

What about exports?

What if a trader sells to another trader? How many times can a tonne be charged levy?

 

[bobk]

I'd rather AHDB turn up to the meeting being able to answer questions or give some indication of what they can or can't do to help, or if they will/won't help. We'll make faster progress by entering the meeting having had time to think. Hence why the thread might be useful.

Is it in their interests to change ?

 

[Grass And Grain]

Collective myself and my customers are paying about 4-6k a year depending, that’s more than I realised.

Given that you pay all that levy to AHDB, could I ask, are you happy that imports enter our markets with no requirement for farm level assurance?

Are you happy to pay RT in order to access those same markets? or would you like AHDB to develop a market access mechanism that is less costly?

 

[homefarm]

Still more questions

Will the trade get a vote in a ballot if one is triggered?

How many votes does the trade have?

Does Frontier have ve one vote like me or does every Frontier trader have a vote?

Imagine how much AHDB must cost Frontier and Cargil with those buyer and processor levies.

 

[Grass And Grain]

Is it in their interests to change ?

Suppose it depends how much they value their existence.

Same goes for RT Combinables.

 

[bobk]

Suppose it depends how much they value their existence.

Same goes for RT Combinables.

As I've alluded to , cut off the money , their banks will go in to panic stations