Farming Incentive were announced at the Rural Business Conference in early December.
Continuing to push Government for clarity as new schemes develop.
• Farming rules for water is still an issue – the Environment Agency (EA) is stopping the
application of manures in digestate in the Autumn, which conflicts with Defra’s policy of
enhancing soil organic matter. The CLA is part of a cross-industry working group and have
been pushing the EA to focus on a risk-based approach, not just a blanket ban. Abstraction
and water in general continue to be a concern and some CLA members have been having
licences removed.
• Labour issues are still ongoing across all sectors – not just livestock and vegetable growers,
but also affecting members with diversified businesses such as cleaners and waiting staff in
farm shops.
• The national fly-tipping statistics were published last week. Another year-on-year increase, but
only shows incidents on public land. Most incidents occur on private land and landowners are
responsible for the cost of removing it.
• The CLA is pushing for harsher penalties for hare coursing and is working with other rural
organisations to seek an amendment to the police crime, sentencing and courts bill, which will
enable police forces to recover the handling costs where dogs are seized and will increase
fines.
• Increased regulations on residential lettings remain an issue, particularly around local authority
implementation of electrical regulations.
• Waiting for Government’s Levelling Up White Paper to come out as there was no dedicated
funding for rural businesses in the Shared Prosperity Fund. Want to make sure that there is a
dedicated fund for rural businesses.
• The Planning White Paper is due soon and the CLA wants to make sure that it is fit for purpose
for rural areas.
• Expecting a response to the Glover Review and for it to be wider, incorporating more nature
and biodiversity.
• Working closely with Defra on their response to the National Food Strategy from Henry
Dimbleby.
• Continuing to help members that have been hit by the Covid-19 pandemic.
Machinery and other inputs – Ben Turner
• Current prices for commodities are sitting strong. However, staring into the abyss for next year
and customers are in different positions.
• Some customers have bought fertiliser early (sub £200 per tonne) and, looking at the last 10
years of farming, the best profit they could make is to sell it (at plus circa £700 per tonne) and
not put anything on their crops, which is bizarre.
• Steel prices are plateauing – hoping that this will stop price inflation.
• Their supplier factory in the US is at capacity for 2022 so they are only able to get what they
have ordered as stock for next year.
• Expecting commodity levels to drop off in Q4 2022 / Q1 2023 so will have to watch inventory
levels and keep an eye on exports.
• VET checks on machines have been an issue. Someone comes to do the check when they can
and then from that point, you have 14 days for the machine to be shipped. Hauliers make their
money from doing pick-ups from multiple sites in one go which is now difficult. Could do with
extending the 14-days to a month, otherwise it means the checks need to be redone and the
cost is passed onto the customer. This issue has toned down their export business over the
past year.
• Some good grants available at the moment, but there is an issue with funding the gap. It would
be better if finance was allowed as a mechanism rather than required the business to fund with
cash.
• It is an aggressive market at the moment.
• It is hard to get good talent.