Thoughts while leaning on the gate looking at
Agriculture in the UK and the Future of the Supply Trade By Richard Cooksley The supply trade has historically adapted according to the needs of
agricultural area and made up of.
those who farm and produce food, but over the next 3 to 10 years it will
50% Cereals
need to be more proactive than ever if what is expected to take place
20% Temporary grass
comes to fruition.
12% Other arable crops
The difference these days is that farming has less influence on
7% Oilseeds
government than the past. Those who legislate are further away from
6% Uncropped arable land
farming or food production than ever and they are subject to lobbying by
3% Horticulture
other organisations whose aims may not align with those of our industry. In addition to this the support system for farming that previously provided cash and went straight to the bottom line of the accounts is changing and in the future funds that will be available will be linked to environmental activities such as planting trees or taking areas out of food production. So as to consider how our market will change, we need to
2% Potatoes o Permanent grassland is approximately 10 million hectares. 60% Grass over 5 years
40% Rough grazing (mountains/Hills/moorland o Other land on farms approximately 1.3 million hectares 77% Woodland
understand the changes that are expected to take place in support
22% Non-agricultural land
funding for agriculture and the associated farming structure.
1% Land used for pigs
Today UK agriculture with the current subsidies produces less than 60% of the food required to feed the domestic population; if the support
Livestock:
payment was removed totally a large proportion of farms would have to
• 9.6 million cattle/calves o Of which is 1.87 dairy cows
change the way they farm to stay profitable. Approximately 69% of the UK land area is farmed and some 429,000 are employed on farms generating £9.9 billion to the economy. As a generalization, most dairy farms are in the West of the country as this predominantly has more rain so grows grass for silage and grazing, whilst the majority of cereal farms are in the East of the country
• 32.5 million sheep/lambs • 182 million poultry • 4 million other o 56% Horses o 27% Goats
where it tends to be drier. The diversification of activities on farms has been growing in the last 20 years and it is estimated that 69% of farm businesses have some
o 9% Farmed deer
o 3% Alpacas/Llamas
o 5% Others not classified!
other activity such as farm shops, offices, storage, B&B etc. Sector
• 5 million pigs
Number of Farm holdings
GVA £billions (2014)
GVA%
Workforce (‘000s of jobs)
Workforce %
Agriculture
9.9
9.2%
429
11.04%
Farming Businesses
Food Manufacturing
26.9
24.9%
381
10.1%
I deliberately use the words ‘Farming Business’ as this is a term we in
Food Retailing
30.2
28.0%
228
6.1%
agriculture is a business. Whilst farming is described by many as a way
Food Wholesale
11.9
11.0%
1174
31.2%
of life it can only be so in the long run if it is viable and produces a quality
Catering
29.1
26.9%
1552
41.2%
Total
109.0
100%
3,764
100%
•
212,000 which vary dramatically in size and efficiency
the supply trade and those who farm must understand that farming and
The above is a fair estimate based on DEFRA reports covering 2020 and for information purposes only. The following basic background covering farms and cropping which has been sourced from DEFRA reports covering up until June 2020.
product, be this livestock, grain, vegetables or public good etc, that is wanted and at a price the market is prepared to pay. Farms vary in size and type and the challenge over the years has been to get many of them to understand they run a business; it is not just a lifestyle! The agricultural supply trade is a key part of agriculture as the supplier of goods and increasingly services to those who manage the land and make a living out of it.
Land Area: • 17.3 million hectares of total utilised agricultural land o Croppable land is approximately a third of the UK utilised
Page 34 May/June 2021 Feed Compounder
Farming businesses take many forms, different styles, structures and in many ways are driven by the market’s needs and the whims of the ultimate customer. The following give a flavor of these different styles and structures (some of the following overlap).