A new partnership aims to improve farm profitability by combining lower-cost input purchasing with grain storage and marketing services.
The collaboration brings together AF Group’s buying power on farm inputs with Camgrain’s grain handling, drying and marketing operation across eastern and central England. The two farmer-owned co-operatives believe the agreement will help growers strengthen cereal margins at a time of rising production costs and volatile commodity markets.
Under the arrangement, farmers will be able to access discounted services, grain cleaning and storage, alongside a range of marketing options including forward contracts, pooled marketing and direct sales routes. Camgrain said growers could choose how actively involved they wished to be in selling grain, while relying on the co-operative to manage storage, logistics and quality assurance.
Margin focus
Camgrain group chief executive Simon Willis says closer collaboration between farming co-operatives is increasingly important for arable businesses.
“As a farmer owned co-operative, Camgrain is delighted to be collaborating with AF Group – a similar farming co-operative,” he said.
“In these challenging times for UK arable crop farmers, I believe it is vital that we work together with other farming co-operatives, to reduce the costs each other’s farmer members incur operating their businesses.”
Camgrain operates grain storage facilities in Cambridgeshire, Northamptonshire and Warwickshire, handling crops including wheat, barley, oilseed rape, oats, beans and organic produce. The business has continued investing in grain sorting and drying technology to improve crop values and target premium markets.
Technology investment
Its facilities include colour sorters capable of removing contaminants such as ergot at rates of up to 100 tonnes an hour, alongside a BoMill protein sorting plant designed to segregate grain by protein and nitrogen content. The system allows grain to be targeted more precisely at premium milling and processing markets.
AF Group chief agricultural officer John Barrett said efficient storage and assurance systems were becoming increasingly important for growers seeking to maximise returns.
“What do Camgrain do? They store grain well, giving you the best opportunity to be able to sell that grain to buyers who know what they’re going to get,” he said.
Shared services
“They will dry it at the lowest cost, store it at the lowest cost, and assure it to the highest standard so you can get the best value out of your crop.”
Mr Barrett said combining grain marketing with input purchasing could improve overall business performance.
“Combine this with AF’s specialists procuring inputs at best value, this collaboration presents an excellent opportunity for farmers to maximise returns on their crops at a time when that is more important than ever.”
Farmers wanting access to the scheme should reference the partnership when making enquiries to either the AF Group or Camgrain so both organisations can coordinate their support and offers.