Sugar growers to join forces to cut costs and increase efficiency

05 June 2007

The pressure to drive down sugar beet production costs and capture efficiencies post sugar reform has never been more intense, according to the NFU.

To boost the sector's profitability, NFU Sugar has joined forces with both East of England and East Midlands Regional Development Agencies and the English Farming and Food Partnerships to launch a sugar beet initiative which represents the next important step towards future profitability in the sector.

The project follows NFU Sugar's negotiation of a three-year beet contract with the processor, which offers almost total flexibility in the way growers and groups run contracts, harvesting and haulage.

NFU Sugar Chairman John Hoyles said: "There is no doubt that price cuts focus the mind but the challenge is still to change mindsets and challenge preconceived ideas. Growers hear talk about the flexible contract but without examples of how this can work for them and how they can tap into it all, the benefits are less tangible and slow to become a reality.

We mean to change this and are delighted to be launching this exciting Share to Grow Sugar Beet project, which is all about collaborating to stay profitable. The significant grant funding and commitment from RDA and the knowledge of EFFP will give the process a valuable kick start but it is merely the beginning of changes that will bring genuine economic benefits to beet growers."

The project will include short films of case studies where collaboration is currently paying dividends. A series of workshops will also bring together growers and other industry stakeholders to make new ideas a reality as quickly as possible.

Rachel Carrington, NFU East Anglia Food and Farming Adviser, said: "We believe this is the first joint venture of its type between EEDA and EMDA and demonstrates a real commitment to the future of an important industry in both regions."

Richard Self, of EFFP, said: "We would like to build on the success of other collaborative ventures run with the NFU, such as Share to Grow for arable farmers and Share to Milk for dairy producers. We share the NFU's enthusiasm and can see tremendous potential for benefits in the beet sector."

Growers will soon receive a survey in the post to provide information on how much collaboration is currently taking place in cultivation, harvesting and haulage. It may also indicate why other growers continue to go it alone.

The project will culminate in a report and grower meetings later this year.

For further information please contact NFU Sugar on 02476 6858618, Rachel Carrington in East Anglia regional office on 01638 672114 or Richard Self, Regional Manager, EFFP