farmers cooperating

AtlasFram’s new website has wonpraise for its innovative design, clarityand functionality. Many members relyon it for an increasing proportion oftransactions with the Group, both interms of inputs purchasing and cropmarketing.

One of the early-adopters is JR and EHNott in Essex, a business based aroundcontract farming, agricultural contractingand renting land, which in the first fewweeks placed over 40 orders using thenew facility. The business is owned byJames and Debbie Nott, who graduatedfrom Reading University in 1992 and nowfarm 3600 acres within a six-mile radius ofGestingthorpe.

“We got involved in the Special InterestGroup which was set up to define theparameters of the new project at the startbecause we could see the potential,”explains James, a fifth-generation farmerwhose father began contract farming in1984. “We realised the benefits it couldoffer, but emphasised to AtlasFram theimportance of ensuring that it wasabsolutely secure. I was adamant it shouldavoid the mistakes of some otherwebsites, which are too complex. It had tobe simple, intuitive and secure.

“Our business is the main account holderand I order everything used on our sixcontract farms, each of which has aseparate sub-account,” James explains.“We can access the main account andsub-accounts, but individual farms canonly access their own details.

“We operate a very progressive, complexbusiness and purchase the majority of ourinputs through AtlasFram. I do all of the

ordering and can order anything just byclicking on the relevant item in one of thedrop-down menus, which also specify thedelivery address and delivery date. All I dois to type in the quantity required whichmakes ordering products easy andreduces the risk of error.

“We immediately receive an email whichconfirms receipt of the order, and asecond detailing the supplier and delivery

Simple, intuitive and secure- new website draws praise from early-adopter

4 8 15

What’s in this issue:4. Latest Axial-Flow brings benefits

8. Adding value to UK rapeseed

15. Rose veal - a diversification opportunity

James and Debbie Nott

Continued on page 3

www.whitingandpartners.co.uk

AlternativeFunding

Crowd funding seems to be all the rageat the moment as either an alternativeto bank funding or to supplement bankfinancial support.

Traditionally, financing a business involvedasking a few investors for large sums ofmoney but a phenomenon known as‘crowd funding’ is turning this idea on itshead by using the internet and numerouswebsites to help businesses communicatewith thousands of potential funders.

It means that small business owners andentrepreneurs have an opportunity toappeal directly to small investors. Equally,whereas investing in a small business waspreviously the domain of the very rich, thisnew concept means anyone can reap thebenefits of investing in fledgling start-ups.

Many new providers of crowd funding orpeer-to-peer lending are being launchedevery month in the UK and worldwide.This market is becoming larger and,increasingly, a more mainstream source ofbusiness finance.

However, some are very small and othershave yet to go ‘live’ so identifying thebest-organised and well-establishedproviders is not easy.

This source of funding can be a minefieldbut through our membership of theCorporate Finance Network we have beenable to identify those which are focusedon small business finance. To make thingseasier we have a new App called ‘CrowdFunding Options’ which is a freedownload. Using this App a businessowner answers some simple questions,

in confidence, about their business andtheir financing needs. The App thenselects the most suitable crowd fundingsites worthy of further investigation aspossible sources of finance.

The crowd funding market is divided intothose offering loans; those raising equityfinance; and those that require a businessto be able to offer other non-financial‘rewards’. It is getting larger and morecomplicated and if business owners arenot guided in the right direction, they canwaste an awful lot of time looking atunsuitable websites.

Once a shortlist has been drawn up, itmay be time for the business owner toseek professional advice. We have helpedvarious people who are investigatingcrowd funding as a source of investmentto prepare their applications and to makesure they get it right first time. It is the oldstory, as with all lending propositions, firstimpressions count! A bad first attemptcould rule out any subsequent efforts withthat crowd funder.

Alternative funding is going to be assuitable to the farming sector as any othersector. It could be used for raising cash orto assist in the purchasing of newequipment. Alternatively, you may considerbecoming an investor.

The new App, the first of its kind, isalready helping UK business owners todetermine which crowd funding sites maybe most suitable for their requirements. Itis available free for Apple devices on theApp Store site and on Googleplay for

Android-based machines. Crowd Fundingwill be at the centre of a series of Whitingand Partners seminars this autumn andwe are expecting a great deal of interest.

Chris RidgeonWhiting & Partners Farming GroupT: 01284 752313E: chrisridgeon@whitingandpartners.co.uk

Bank not interested?There are alternatives,writes Chris Ridgeon.

Founded over 80 years ago, Whiting & Partners now have eightoffices across East Anglia with 15 partners and 130 staff.

An independent firm, we offertraditional accountancy practicealongside many specialistand niche services.

For more information call01284 752313

Greenwood House, Greenwood Court,Skyliner Way, Bury St Edmunds IP32 7GY

Registered to carry on audit work and regulated for a range ofinvestment business activities by the Institute of CharteredAccountants in England and Wales.

CEO Comment

3

Despite anextremelychallengingyear, AtlasFramGroup hasincreasedMemberShareholderfunds and isinvesting in thefuture.

Annual results to30 June 2013 willbe announced atour AGM in

November, but the number of invoicesprocessed increased by 3.5% andturnover by 7% in real terms. Although theUK grain market was down by 20%+nationally, our Crop Marketing Departmentvolume increased by 40%. The LivestockProducts Team turned in another greatperformance and Framtrade generated arecord profit.

AtlasFram is a true farmers’ cooperativeand operates solely to benefit ourMembers. Our financial strength enablesus to invest in the future, the purchase ofAvocet House, a superb, purpose-builtproperty in Framlingham being anexcellent example of this. We anticipatemoving in during September. Strutt &Parker have marketed our New Road siteand have a preferred buyer negotiating itspurchase for residential development.

We are also investing in our team, whoseexpertise and commitment has madeAtlasFram what it is today. Achieving the‘Investors in People’ standard in Marchwas a major landmark, but improvement isalways ‘work-in-progress’. We continuallyassess performance, target areas forimprovement and measure KeyPerformance Indicators across thebusiness using a balanced scorecard. I amdelighted that our People have achievedthe first stretched target in all of themeasures and the second stretched targetin three of four measures. A well-motivated team on the front foot willdeliver the best service and value to theMembership.

In 2012, AtlasFram’s achievements wererecognised at the EADT Business Awardswhich highlight excellence in the EastAnglian business community, where wewon the ‘Medium to Large Business’

category. Twelve months on, I wasdelighted to be named ‘Director of theYear 2013’ (see page 7). A key aspectwas our innovative use of IT and the frontcover features James and Debbie Nott,founder Members of the Special InterestGroup (SIG) established to help developour new secure website.

I describe AtlasFram as an extremely well-run business with a ‘club’ feel. Our focusis solely on providing excellent value andservice, the key being to know whatMembers want and engage them in thedevelopment process. SIGs demonstratehow good communications have such apositive impact by fostering innovation andgetting things done. Our Fuel SIG, forexample, has been very successful indeveloping the concept of forwardpurchasing (see page 12).

Member Councils are another excellentmeans of communication and recentmeetings in the North West, West Anglia,East Anglia and South were well attended.The inaugural meeting of the NextGeneration Council will pave the way for aNext Generation Group focused onmaking younger Members feel moreinvolved in AtlasFram.

The Next Generation Council resulted fromthe Pie & Pint meetings introduced threeyears ago. We want to build on theirsuccess with on-farm breakfast meetings.If you are doing something that mightinterest other Members and would bewilling to host such an event, please let us know.

Our annual supplier business briefing andgolf day is a great way to foster the strongrelationships which are critical to ensurethat we obtain the products that Membersneed, when they need them. Buildingthose relationships depends on theprofessionalism of our excellent team, so Iwas delighted to host the inauguralAtlasFram Employee Awards that evening,giving the companies we deal with aninsight into the strength and depth withinour team. Read more about the event onpage 12.

Congratulations to the award winners:Gary Pleasance (Innovation), Tim Styles(Member Service) and Michaela Hart(Teamwork and Employee of the Year).

Richard AnscombeChief Executive

Richard Anscombe

date, providing a complete audit trail thatavoids the need for paper copies. Thesystem is very user-friendly and makes lifevery much simpler and more efficient.

“I want AtlasFram to be run efficiently atthe lowest possible cost for the serviceprovided. On the other hand, we don’twant it to become a faceless organisationthat is remote from its Members. I see thenew website as being pivotal in achievingthose apparently-conflicting objectives.Enabling Members to order direct willremove much of the mundane work fromAtlasFram staff, allowing them to deliverbetter service and personally advise thosewho need to speak to someone.

“We spend around £500,000 a year withAtlasFram and from an accounting point ofview the new website is excellent,”explains Debbie Nott, a qualified CharteredSurveyor who administers the business.“Stock is the real headache for us ascontract farmers operating a number ofindividual farms. It is vital that we keeptrack of exactly what is on each farm andevery three months we audit physicalstocks against what is listed on ourGatekeeper computer records. The newsystem makes that much easier.

“The new website is a great success, theprice indicators being especially useful,”James adds. “It is already saving us timeand money and the iPad/iPhonefunctionality allows us to access the systemfrom anywhere with a mobile signal.”

AtlasFram Group LimitedNew Road, Framlingham, Woodbridge, Suffolk IP13 9AT

Tel: 01728 727700E-mail: mail@atlasfram.co.ukFax: 01728 727701

Every precaution has been taken to ensure that thematerial published in Farmers First is accurate at thetime of printing. For further details about any of theinformation featured in this edition please call AshleyGilman at the AtlasFram Group on 01728 727700, orJulian Cooksley at Kendalls PR on 01394 610022.

Group’s performancewill benefit Members

Simple, intuitive and secureContinued from page 1

4

Member Profile - Bolton Farms

AtlasFram Member first to benefitfrom latest Case IH Axial-Flow®

harvesting technologyAtlasFram Member Bolton Farms inEssex took delivery of the flagship 9230model in Case IH’s new range of Axial-Flow® combines just before harvest.Since then they have experiencedconsiderable benefits in terms ofgreater output and easier operationcompared with the previous Axial-Flow9010.

Launched at Cereals 2013, the new Axial-Flow range comprises the 5130, 6130 and7130 from 299hp to 415hp and 7230,8230 and 9230 from 449hp to 571hp. Allmodels use the state-of-the-art AFS Pro700 display for yield monitoring andmachine/guidance control, the systembeing compatible with all Case IHequipment, so it can be transferred easilyto a tractor cab.

These high-output combines incorporate arange of features and improvementsdeveloped by Case IH followingconsultation with farmers and contractors.They include a new cab which sets theindustry standard in convenience, comfortand ergonomics, an upgraded CAN-BUSelectric system, new unloading technology,together with industry-leading residue-management technology.

Such features appealed to David Boltonand his son, also David, who farm 800acres and a further 800 acres on contract.This year they harvested 550 acres ofoilseed rape, 70 acres of spring barley and1400 acres of winter wheat.

Having successfully operated a 30' Axial-Flow 9010 for five seasons the Boltons,who also rely on a Case IH Quadtrac 535to handle primary cultivations and drillinghave seen clear benefits from changing tothe 9230.

“We couldn’t fault our previous 9010. Itwas very reliable, easy to maintain,produced a good sample and wascomfortable. But the new 9230incorporates a number of significanttechnical advancements,” David explains.

One of the main reasons the Boltonswaited for the new model was because ofthe new Case IH deluxe straw chopperpackage, which features in-cabadjustment of the knife bank and rear rotordischarge door. It enables the operator to

change the speed of the chopper from thecab and makes it possible to switch from‘chop’ to ‘swath’ mode in under a minute,without opening any covers. The deluxechaff spreader option, which includes in-cab adjustment of spread distance anddistribution, allows crop residues to bedistributed evenly, making cultivationseasier and more effective.

“The new combine was ordered throughErnest Doe Power at Fyfield usingAtlasFram’s Machinery PurchasingScheme,” David explains. “That allowed usto benefit from the valuable additionalmanufacturer’s rebate which AtlasFramhas with Case IH, making the deal evenmore attractive.

“We took delivery in July and first used thecombine to harvest oilseed rape, whichwas a few days later than normal due touneven ripening caused by heavy rainfallduring the spring and pigeon damagethroughout the growing period.

“The extra engine power is noticeable and571hp provides much greater harvestingperformance compared with our 9010,even though the 9230 also has a 30’

header. The new header is much better atfollowing the ground contours and doesn’tdig into the ground, which saves time,reduces the risk of mechanical damageand also contamination of the sample.

“The other big difference is the cab. Wethought the previous one was very good,but visibility from the new, larger cab ismuch better, while the interior design andlayout is significantly improved. The 9230allows you to make so many moreadjustments from the cab which savestime and makes it much easier to operateat optimum efficiency.”

“We are delighted with our new 9230,”says David Bolton. “The improvementswhich it incorporates, particularly softwareand electronic systems, make anenormous difference to the ease ofoperation and output. Based on our initialexperiences the decision to change hasproved well-founded and we will probablykeep the machine for five years. At thattime we will take another look at tracks,but this time around we felt that currentlythe additional cost was not warranted.”

David and David Bolton

Inside the cabof BoltonFarms newCase IH Axial-Flow 9230combine

5

Supplier Profile - Certis

After decades of being dominated byjust two stalwarts of the UK slug pelletindustry, the relative newcomer 3%ferric phosphates rose to the challengethat the slug-stricken 2012 seasonposed in putting the treatment to itsbiggest test yet, and in gainingcredence as a worthy third option.

According to agronomy experts, Sluxx(containing ferric phosphate) deliver adesperately-needed industry solutionwhere pellet efficacy and strongenvironmental credentials are central tosustaining the pellet armoury.

Hutchinsons’ technical developmentdirector, Dr David Ellerton says that lastyear’s wet weather and high slug pressurehighlighted the significance of the additionof a robust third slug pellet option intackling the industry’s number one pest. “Few need reminding of the threat posedby the kind of exploding slug populationswe witnessed in 2012,” he points out. “Yetif we are to effectively steward the controloptions currently available, then it’s clearthat ferric phosphate chemistry has a vitalrole to play. With agronomists and farmersreporting efficacy levels with ferricphosphate on a par with metaldehyde, it isclear that this newer alternative isn’t acompromise in any way.”

Dr Ellerton emphasises the intensepressure that metaldehyde is currentlyunder, noting that this active is subject toclose scrutiny by the water companiesand regulatory authorities; meaning thatdose rate restrictions must be adhered toif the active is to be maintained, andfurther exceedances in water avoided.Certis marketing manager RobertLidstone says that whilst as a businessthey have interests in both metaldehydeand ferric phosphate slug pellets, there isa clear case for adopting a programmedapproach, coupled with cultural controls. “This offers farmers a choice and willultimately help preserve the range oftreatments currently available. Sluxx is ahigh quality, wet process, pasta pelletand doesn’t have the same applicationrestrictions as methiocarb ormetaldehyde products, with no harvestinterval, no buffer zone and no waterrelated issues. It really does deliver on allfronts, and adds a welcome third anddifferent active ingredient option.”

Dr Ellerton adds that, given the strongenvironmental profile, the ferric

phosphate formulations are naturallysuited to applications to crops situated invulnerable water catchment areas, onfields directly adjacent to watercoursesand for treating headlands, as well as tofields where drains are flowing and onpoorly drained, heavy soils.

“It also presents benefits on multi-treatment crops such as potatoes, wherea following cereal crop imposes calendaryear dose rate limitations for thealternatives. I can see ferric phosphatebecoming a component part of everyintegrated slug control programme,” heclaims.

Outlining recent results fromindependently conducted marketresearch on slug pellet use following the2012 season, Robert Lidstone says itbacks up positive experience fromfarmers and agronomists who reportedfields ‘greening up’ after Sluxxapplications in intense slug pressurescenarios - clear evidence that slugactivity has ceased.

“And whilst it was interesting to find outthat the motivation for opting for ferricphosphate in control programmes wasmost commonly ‘environment’ and the

fact that it represents an alternativeactive,” says Robert, “it was gratifying tosee 82% of those satisfied with Sluxx,identifying that effective slug control wasactually their subsequent reason forreaching that conclusion.”

Ferric phosphate now seen as amainstay in slug control

A slug eating ferric phosphate

Dr David Ellerton, Technical DevelopmentDirector for Hutchinsons

66

7

Richard Anscombe, Chief ExecutiveOfficer of AtlasFram Group, was namedDirector of The Year by the judges ofthe prestigious East Anglian DailyTimes Business Awards 2013.

The Director of the Year award, which issponsored by the New Anglia LocalEnterprise Partnership, recognises the

hard work, creativity and innovation ofbusiness leaders in Suffolk. The judgeswere looking for a business leader withvision, clarity and the ability to keep theireye on the ball in a challenging economicclimate, the winner being an individualwho has not only achieved strong financialperformance and growth but is regardedas a positive symbol of creativity in theworkplace.

In making the award the judges said:“Richard Anscombe’s past 12 months atAtlasFram – specifically, his successfulintroduction of a game-changing productinnovation, the company’s bold use ofdigital to create a sizeable market sectorfrom scratch and the strong growth ofemployee morale – make him our Directorof the Year 2013.”

Richard states. “Earlier this year my teamasked if they could nominate me for theDirector of the Year award because theysaid I had made a big difference to thebusiness. I was delighted they felt thatway and honoured to win, but my hope isthat it will help to further raise awareness

of AtlasFram, of the agricultural sector andof the excellent career opportunities whichit now offers.

“This award would not have been possiblewithout the support of my wife Penny andthe staff, directors and Members ofAtlasFram.

“Our investment in information technologyand innovative use of it has been pivotal intaking the Group forward, as has been ourdevelopment of ‘Investors In People’,which continues the process of involvingand empowering working within AtlasFramto strive for personal and businessdevelopment.

“With children of my own I am passionateabout investing time and knowledge in thenext generation, encouraging them toraise their aspirations and be the best theycan be. As part of that philosophy I workclosely with groups such as YoungFarmers, Anglia Local EnterprisePartnership and Suffolk County Council tohelp and inspire young people to choose acareer about which they will be equallypassionate.”

Richard is Director of the Year

Simon Scott has taken over asParts/Machinery Buyer for theAtlasFram Group following theretirement of Jon Fovargue in July.

Simon’s career in the agricultural supplysector began in July 1988 when hejoined Olcope Ltd at Bruisyard inSuffolk, which at the time was a dealerfor Case/IH equipment. Uncertainty overthe future of the franchise prompted himand a number of other colleagues tojoin Framlingham Tractors, the localCase/IH tractor dealer, in March 1989.Starting in the Parts Department, hesubsequently managed the company’swarranty administration and after 18months became Sales Administrator, arole in which he was responsible forordering all of the new machinerypurchased by the Framlingham TractorsGroup, which at the time had fivedepots.

Having been involved in all aspects ofFramlingham Tractors’ sales and hirebusiness, Simon was appointed asParts Manager when Ernest Doe Powertook over the business in 2001. Heremained there until he joined AtlasFramin a position which he is says will offernew interests and challenges and looks

forward to developing the departmentto offer Members a valued service.

Having been involved in the agriculturalsector all of his life and dealt withAtlasFram for the last 12 years, Simonalready knows many AtlasFramMembers, so he has ‘hit the ground

running’. He is passionate about CaseIH products and has an outstandingknowledge of the entire agriculturalmachinery sector.

Born in Framlingham, Simon has livedthere all of his life, now with his partnerand their two-year-old son.

Staff profile - Simon Scott

8

Crop Marketing

Consume any product containing‘vegetable oil’ and it’s likely to includerapeseed oil produced at ADM Direct’sErith crushing plant in Kent, the largestof its type in the UK.

AtlasFram Group’s marketing partnershipwith ADM Direct has been very successfulsince its instigation in 2010. Membershave benefited from in-depth marketinformation and advice on when to sell,preferential access to ADM Direct’s Erithplant and its local stores for harvestmovement, resulting in excellent poolprices and developing tonnages.

The decision to take things furtherrepresented the best choice for the futureof our business. It was a uniqueopportunity to forge an alliance with one ofthe UK’s major grain/rapeseed consumers,giving Members access to a much greaterrange of end-user markets.

ADM Direct is a wholly-owned division ofArcher Daniels Midland (UK) Ltd, part ofArcher Daniels Midland Company (ADM), aglobal business with 265 processing

plants and 460-plus sourcing facilities.ADM transports, stores and processescorn, oilseeds, wheat and cocoa intoproducts for food, animal feed, industrialand energy uses. Globally, the businesshas the capacity to process 287,000tonnes of agricultural crops daily and iscommitted to the responsible, sustainabledevelopment of agriculture globally. Basedin Decatur, Illinois, ADM connects crops tomarkets in over 140 countries on sixcontinents, with net sales of $90.6 billionin 2012.

In the UK, ADM’s 1200 employeesmanufacture products ranging fromvegetable oil to milling flour andchocolate. ADM Milling, which processesapproximately one million tonnes of wheatannually, operates seven flour mills acrossEngland and Scotland, serving customersfrom large, multi-national manufacturers tosmall craft bakers.

Through its wholly-owned subsidiaries,ADM Erith Ltd and Pura Foods Ltd, ADMrefines liquid oils including rapeseed, high-

oleic rapeseed, sunflower seed, winterizedsun and high-oleic sun. It also refinestropical oils including palm, palm olein,palm stearine, palm kernel, palm kernelstearine and coconut. In addition, it blendsand packs many of these at its mixed-oilrefinery and oils/fats packaging facility inPurfleet, Essex. ADM Trading (U.K.)Limited, also based in Erith, is a leadingsupplier of edible oils and fats.

Based at Comberton, CambridgeshireADM Direct was established in 2002.Sourcing rapeseed and wheat for ADM’sown plants in the UK, it provides farmerswith greater choice of market and theopportunity to gain real benefit from sellingcrops direct to the end-customer. Byoffering the best package of marketinformation, price, efficient transport andpayment from a financially-secure source,the business has become one of the UK’sTop 10 grain merchants.

In June 2012, AtlasFram announced twonew premium oilseed rape marketingcontracts with ADM Direct for Membersoperating LEAF-certified farms. The first,which offers an additional £15/t premiumover and above normal quality premiumsfor standard double-zero oilseed rape forfive years, was made possible by the factthat a large customer of ADM Direct waslooking to source rapeseed oil fromsustainable sources. The second offered apremium of up to £35/t for High Oleic,Low Linolenic (HOLL) oilseed rape, inaddition to standard quality bonuses.

Both oils are produced at ADM Erith,which processes the production fromsome 1000 hectares of rapeseed everyday. Amongst the largest combinable cropprocessing plants in the UK, it processesover half of the domestic crush to producerefined oil which is used in foodingredients and biofuels throughout the UKand Europe. The co-product, rape meal, isa highly-nutritious livestock feed used byproducers in the UK, France and Ireland.

A Century In OilsThe Erith facility was constructed besidethe River Thames in 1907 by the Aarhusfamily from Denmark as a processing and

Adding value to UK-produced rapeseed

The ADM plant at Erith

9

refining plant for oilseeds such as coconut,palm and shea which were brought in byboat. By the end of World War I the plant,which once employed 1400 staff,produced 2000 tonnes of refined oils everyweek, the meal by-product being used inbalanced dairy nuts. In 1930 Erith OilWorks became part of Unilever. DuringWorld War II, it produced margarine anduntil 1970 formed part of BOCM, aUnilever subsidiary, before becoming partof Unimills and used to process soybeans,the oil being used in the company’smargarine plant at Purfleet.

By the mid-1970s vessels had becomesignificantly larger and although the wharfat Erith could accommodate coasters upto 5000 tonnes it could not compete withfacilities in Europe that could handle the50,000 – 70,000-tonne vessels used totransport soybeans from the UnitedStates. It was then the Erith plant wasconverted to crush oilseed rape, a cropstill in its infancy. When the UK joined theEuropean Economic Community on 1January 1973 the area of home-producedrapeseed was 14,000 ha, but by 1979 itwas 74,000ha and is now 750,000ha.

In 1982 the last soybeans were crushed atErith and the plant converted to crush onlyrapeseed and sunflower seed. Today, thefacility takes in some 180 lorry loads ofoilseed rape every day and whilst crushingis a relatively simple process, employing fewpeople it takes place on a vast scale atErith, which operates flat-out for all butapproximately 10 days a year when it shutsfor annual maintenance.

“Without home-produced oilseed rape toprocess the Erith plant would have closed inthe early 1980s when it becameuneconomic to import soybeans into theUK,” explains Martin Farrow, GeneralManager of the Erith plant and of ADMDirect. “But by 1988 we were operating atfull capacity, crushing oilseed rape andsunflower seeds imported by then ownersUnilever for use in Flora margarine.

“ADM’s expertise is in working with farmers,in logistics and in processing. Every day atErith we crush the produce of some 1000ha

of oilseed rape,produced mainly onfarms south of a linefrom about The Wash toBristol, into a range ofproducts. As part of ourintegrated food chainapproach, customerscan have food-graderapeseed oil in any formthey require. Some will be bottled for retailsale, some will be delivered in bulk to foodproducers and some goes for biofuel, themajority being used within the UK.

“As a crusher my interest is solely in thecrush margin, the difference between theprice of rapeseed and the return we achievefor the end products. In fact, I like to seefarmers obtain a high price for theirrapeseed as it encourages them to plantmore.

“Developing initiatives such as Leaf Marquecertified oilseed rape has been veryimportant and something that we have beenable to do so because we are part of alarge, integrated business. AtlasFram Groupand its Members are an important part ofADM Direct’s origination business and theirrole is increasing as the supply chainbecomes ever more integrated andtraceability and sustainability becomeincreasingly important. We have alwaysregarded AtlasFram as having enormouspotential for development, but we realise theimportance of proving ourselves bydelivering excellent service and financialreturns to growers.

“With agricultural commodity marketsbecoming ever more complex and hugelymore volatile, having access to accurateglobal markets information and the ability tointerpret it correctly is critical. The mostsuccessful farmers tend to leave cropmarketing to those who are in a position tooptimise returns. However, if you are going

to use a marketing pool, choose one with aproven track record.

“ADM Direct has a global reach, theknowledge, and ability to interpretinformation from markets all over the worldand an involvement throughout the foodchain, from farm to finished products. Afterthe recent horsemeat scandal, theimportance of traceability has increasedenormously and provenance will becomeever more important. With ADM’s integratedsupply chain we can offer what ourcustomers require.

“With commodity prices having doubled inthe last two years the financial requirementsto operate in this sector are enormous. It’sbecoming a big boys’ game and the priorityfor farmers should be the financial securityof the other party. The amounts of money atstake are too big to take risks.”

Martin Farrow says one of the keychallenges facing UK crushers of oilseedrape is not world market volatility ormargins, but something most farmers don’teven think of. Toxic residues from claypigeons shot over standing crops from theyellow bud stage onwards can be taken intothe combine and end up in the seedsample. The resulting high levels of PAH(polycyclic aromatic hydrocarbons) from thebitumen used as a binder has cost hisbusiness over £1 million to remove this yearalone.

“Our current rate of rejection is very low, butwe would like to eliminate the problem,”Martin emphasises. “Producers mustappreciate that they are in the foodbusiness and demonstrate due diligence, soif they suspect that crops have beenaffected it is incumbent on them to havesamples analysed before leaving the farm. Ifthey do not put their own house in orderthen either legislation or financial penaltieswill be introduced to force them to takeaction.”

Martin Farrow has been involved in the rapeseed sector for 35 years. Hestarted work with Unilever-owned merchant Quenby-Price in Bedfordshireand after eight years with the business moved to Unilever at Erith. In 1990he was appointed Managing Director of farmer-owned business UnitedOilseeds Marketing Ltd. He returned to Erith as General Manager of ADMErith and of ADM Direct in 2003 and is currently President of FOSFA.

11

Member Profile - Duncan Ellis

The Long ManBrewery is afascinatingdiversificationproject located onthe farm ofAtlasFramMember DuncanEllis.

“It was a long timein the planning,”says Duncan Ellis,whose family havefarmed at Litlington

in East Sussex for three generations. Today,the business encompasses 1800 acres ofarable producing wheat, oilseed rape andbarley, plus 1200 breeding ewes and 50beef cattle. A fully-committed Member ofAtlasFram he uses the Group to source allfarm inputs.

Explaining the background, Duncan states: “We used to run 120 dairy cows but whenwe sold the herd seven years ago we wereleft with a number of attractive flint buildingsfor which there was no use. The SouthDowns are very good for producing maltingbarley and a neighbour has a beer andwine wholesale business, which set usthinking.”

The brewery is a joint venture betweenDuncan, Stephen Lees and Jamie Simm.Stephen has lived in the Cuckmere Valleyfor years and works in his family business,which has supplied wine, spirits and beer tolicensed outlets for over 100 years. Havingknown Stephen for years and brewedaward-winning beers at The RoyalTunbridge Wells brewery, Jamie alwaysdreamt that one day he would part-own abrewery.

Given their mutual love of beer the threehad talked about opening a brewery foryears and finally decided the time was rightto start turning their dreams into reality.

Church Farm, where the brewery is based,has a long history in this sector. During themid-19th Century the farm had a malthouse of its own, while an inventory of thefarmhouse in 1538 listed a ‘brew-housechamber’ within the premises. The brewerytakes its name from the Long Man ofWilmington, a 227ft high hill figure datingback to the 16th or 17th Century AD onWindover Hill in East Sussex

Work began in October 2011 to turn adisused flint barn and outbuildings into abrewery. The building was completelyrefurbished and in January 2012 a new

20-barrel brew plant with three fermentationvessels was ordered. Providing the capacityto brew 240 nine-gallon casks - known asfirkins – per week, the plant was installed inFebruary 2012. Two months later, the LongMan Brewery produced its first beer, LongBlonde, a 3.8% light ale.

A year on the brewery is a great successand fulfilling the partners’ mission statement- ‘to create a consistently cracking pint’. InApril 2013 it sold its 500,000th pint, allproduced using malting barley grown atChurch Farm and malted by WarminsterMaltings Ltd in Wiltshire, a leading supplierof malt to the independent brewing sector.

The success of the venture has alreadybeen recognised by more than sales alone.2013 got off to a good start when the LongMan Brewery received triple honours at theSociety of Independent Brewers (SIBA)Awards, its American Pale Ale taking ‘Silver’in the ‘Bottled Bitters’ and ‘PremiumBitters’ categories, the new 5.0% goldenpremium ale ‘Golden Tipple’ Bronze in the‘Strong Bitters’ category.

The company’s beers, Long Blonde,Sussex Pride (4.0%), American Pale Ale(4.8%), Old Man (4.3%) and Golden Tipple,are now available in over 80 outletsthroughout Sussex and Kent, while LongBlonde, APA and Best Bitter are alsoavailable in the bottle.

Duncan Ellis states: “Demand has goneballistic and we’re going from strength tostrength. We now employ six staff andsupply 1300 nine-gallon firkins every monthto customers throughout the UK.”

Further details: Long Man Brewery,Church Farm, Litlington, East SussexBN26 5RA • T: 01323 871850 Email: info@longmanbrewery.com www.longmanbrewery.com

Innovation drives the next generation

Duncan Ellis

Church Farm, where The Long Man Brewery is based

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Our annual supplier business briefingand golf day at the end of July was verywell attended by suppliers from acrossall sectors and provided a great way tofoster strong relationships which are soimportant given the globalisation of thesupply chain and the pressures onsupply security as the emerging BRICcountries westernise.

We also held the inaugural AtlasFramEmployee Awards during the evening of thesupplier day. It was good for suppliers towitness the awards alongside the team fromAtlasFram. Congratulations to GaryPleasance, Managing Director of FramtradeLtd, who won the ‘Innovation’ award, to TimStyles, Manager of our Livestock and CropMarketing team, who won the ‘MemberService’ award and to Michaela Hart from

the Crop Marketing Team, who won boththe ‘Team Work’ award and the overall‘Employee of the Year award. In all, 85nominations were made by workcolleagues, with 27 employees receiving atleast one nomination.

The nominations were judged by SerenaGreenwell, Chairman of AtlasFram Group,together with Vice Chairman RodneyBaker-Bates and Richard Anscombe,Chief Executive Officer, who had a toughtask in selecting the winners because ofthe quality of the candidates.

An initiative which enables AtlasFramMembers to forward-purchase reddiesel (gas oil) for delivery during theharvest period attracted record interest.Commitment to the scheme, whichallowed Members to order a specificvolume of fuel, at a specific price forguaranteed delivery in July, August andSeptember, increased fourfold this yearfrom 800,000 litres in 2012 to 3,200,000litres in 2013.

“We launched the initiative to ensure thatour Members could avoid being at themercy of prevailing ‘spot’ market prices ata critical time of the year when they usethe most fuel and must have securesupplies,” states Abbie Lyon, Fuel Buyerfor AtlasFram, which purchases 45 millionlitres annually on behalf of its 1250

Members throughout the UK.

“Those who participated in 2012 savedalmost 10% on the cost of their red diesel,around 6 pence per litre because after wefixed the price at 63.79ppl the ‘spot’market subsequently rose above 70ppl.This year, oil prices remained strong, partlydue to the ongoing political unrest inEgypt, but participating Members had thesecurity of having a fixed price for theirfuel, which was supplied through two ofthe UK’s leading fuel distributors.

“Farmers have very few opportunities topurchase fuel on a forward, fixed-pricebasis because farmers’ cooperativesgenerally do not have sufficientcommitment to enable them to offer thisfacility without being exposed to significant

financial risks. The exceptionally high levelof commitment from AtlasFram Members,combined with the Group’s very securefinancial position and guarantee ofpayment to suppliers enables us tonegotiate very competitive prices andprovide this very valuable service.

“The initiative was particularly valuable thisyear because of the late start to theharvest, which further increased pressureon fuel distributors during an already verybusy time when prices normally tend torise anyway because of strong demandfrom the agricultural sector. ParticipatingMembers benefit from a significantfinancial saving, so we believe that this willbecome an even more popular way toobtain fuel in the future.”

Record interest in forwardpurchasing scheme for red diesel

Supplier Day

Fuel Update

Supplier day is a great success

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Our Membership Survey attracted anexcellent response, generating over 200replies in the first week! It is apparentthat you want help to get more fromyour membership. While 96% said wecommunicate effectively, we still havehurdles to overcome and challenges toaddress, so we’re putting in place aprogramme to do that. During thewinter, for example, those whorequested an on-farm meeting will bevisited by one of our BusinessDevelopment Team, which is nowcomplete and covers every area.

The Team is headed by Ashley Gilman,Group Business Manager, who issupported by Becky Hunter in theSouth/South East and Jo Pitts in theMidlands/North West. All have strongfarming backgrounds, are veryexperienced and, apart from Ashley, workon a part-time basis from home, but meetregularly. Going forward, our investment ininformation technology will help them tooperate even more efficiently by allowingthem to input information and update ournew membership database remotely.

The Team is also tasked with following upleads from potential members, attendingregional events and key national showssuch as LAMMA and Cereals, developingrelationships with existing suppliers andestablishing new ones. Becky and Jo alsocoordinate their respective RegionalCouncils.

AtlasFram has a focused, proactiveapproach towards farms within theMembership and focuses on those itbelieves can most benefit from a morethorough understanding of all theadvantages of belonging to the UK’sforemost farm inputs purchasing and cropmarketing cooperative. If you know of afarm business that might benefit fromMembership please contact the office.

Next Generation CouncilOne of the most exciting developments forthe Business Development Team has beenworking with the Next Generation Council,formed to ensure that AtlasFram supportsand involves young farmers.

The first two meetings of the NextGeneration Council have now taken placeand attracted young farmers from memberbusinesses all over the country. Most arein their late 20s or early 30s, no longerdirectly involved in Young Farmers andlooking to AtlasFram to provide a forum tohelp fill the social / information void whichthat has left behind. It was particularlyencouraging to see the sons of nineAtlasFram members in the Southattending the Southern Council,underlining the Next Generation aspect ofthis exciting project.

As expected, the meeting provided a verylively forum for discussion and a hugeamount of feedback in terms of what theyounger generation wants from the Group,

particularly in thearea of socialmedia as a meansof communication.What also camethrough loud andclear was thatmany youngfarmers are nowBASIS / FACTSqualified and doingmore of thepractical stuff, suchas crop walking.Consequently theyare too busy outon the farm and inthe office to readeverything thatcomes out ofAtlasFram, so wetalked at lengthabout providingbusiness critical‘can’t afford tomiss it’ informationusing texts andemails.

Training was alsohighlighted as akey issue, not just vocational training suchas the operation of farm equipment, buttalks from leading farmers and industryexperts who have ‘been there and got theT-shirt’. One of the ways suggested wasfor AtlasFram to host talks by experiencedfarmer businessmen who manage youngerteams to explain how they develop talent,motivate staff and mentor the nextgeneration.

We will take a more detailed look at theNext Generation Council in the nextissue of Farmers First.

Business Development Team

Improving communicationswith Members

Jo Pitts

Ashley Gilman

Becky Hunter

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Member Profile - WR & CF Cox

Rose veal is becoming more popularwith consumers, creating newopportunities for farmers such as WR & CF Cox in Dorset.

In the 1960s white veal was at the heightof its popularity and 616,000 calves werefinished annually for this market. By the1980s numbers had crashed to 35,000.

Now this succulent, high-quality meat isback on the menu. But this time it’s roseveal that is making positive headlines,winning approval from animal rightsorganisations, being endorsed bycelebrities and stocked in supermarkets.

Slightly pink, rose veal is a great-tastingalternative to traditional meats, has fewercalories and a fraction of the fat/saturatedfat of lean beef, pork and lamb.Consequently many hope that the marketwill continue to develop and utilise morebull calves from the dairy industry.

Rose veal is young beef produced fromcalves which have led a good life. Providedwith bedding and a diet which ensurestheir digestive system develops normallyand they do not become anaemic, roseveal is a high-welfare product whichconsumers can enjoy with a clearconscience.

Wakely and Caroline Cox are now in thesecond year of production on their 750-acre Warren Hill Farm at Puddletown,where they grow 270 acres of cereals, 100 acres of stubble turnips and grass forsilage, hay and grazing. They also run 200 sheep and 500 cattle, comprising beefstores and dairy heifers reared on contractfrom weaning to 24 months.

Diversification Enterprise“We began producing rose veal as anotherenterprise,” explains Wakely Cox. “A local

vet put me in touch with two high healthdairy herds locally that were calving year-round and looking for an outlet for bullcalves. The important thing is that calvescome from high health status herds toavoid problems which can slow theirgrowth, increase mortality and productioncosts.”

Having reared calves for his own beefenterprise, Mr Cox started his rose vealenterprise from scratch but now has 360Friesian bull calves which he buys at oneor two weeks and sells at eight months.Whilst all are vaccinated againstpneumonia and salmonella some are fed acomplete rolled nut and others receivehome-grown rolled barley plus AlltechOptigen, a protein source which replacedhome-grown peas and straw.

Having initially raised veal calves in indoorstraw yards, Mr Cox is switching tooutdoor hutches which are a healthieroption and reduce health problems. Thesystem is easy to manage and the calves

do very well, growing quickly and profitably.

“You can see how contented they are.They couldn’t have a much better life,”says Mr Cox, who sells around 600finished veal calves per year. With anaverage carcass weight of 150kg at eightmonths, they are sold through TarrantValley Livestock to DB Foods in Poole,ending up on supermarket shelves, beingsold to restaurants or into the cateringtrade.

Mr Cox says demand for rose vealcontinues to grow, but perhaps not as fastas the supply is increasing, which mayeventually put pressure on prices. But fornow the enterprise generates a usefulmargin.

Having joined AtlasFram in 2012 aftermeeting Becky Hunter, the Group’sBusiness Development Manager in theSouth and South East of England, Mr Coxis already purchasing feed, machineryspares and animal medicines through theGroup.

Rose veal provides newdiversification opportunity

AtlasFram member Wakely Cox, who has diversified into rose veal production