Gill asked if I could write a post on the economic side of farming. Wow what a subject and one I don’t feel I’m fully qualified to write on. But I can maybe give you slightly more understanding.
Farming is in a state of change and flux. It could be said that’s always so, but never more than at this present moment. Farming will survive for as long as we need food, it’s knowing what form it will eventually take. Pressures come from society’s changing needs and perceptions, new laws, free trade and the influences of climate change and depleting energy sources. It’s certainly a tough and unknown path to be trod but I believe there are opportunities for those that can see them, though I also think the casualties will be great.
This year has seen grain prices soar because of world droughts and the use of grain for bio-fuel. Dairy farmers are feeling happy for the first time for ages due to the increase in the price of milk. But beef and lamb prices are poor and with the exorbitant cost for hard feed and straw it looks as if many beef and sheep farmers could go out of business.
Yes, supermarkets are businesses out to make a profit in a highly competitive environment and so do squeeze producers and sometimes drop them with no warning. But they are listening better to what their customers want and realise the need for British farmers to stay in business.
Here is a good supermarket story. We have a Waitrose in Okehampton and several local commercial sheep producers signed up to the store’s local lamb producers’ contract with a fixed lamb price, and they are very happy as although market prices for lamb have plummeted they continue to be paid at a much higher rate.
But I have never myself sold to supermarkets. I guess I have always been entrepreneurial and have tried to add value by selling direct to customers. When I was dairying I had my own milk round selling milk, cream and cheese. I did supply the Milk Marketing Board (as it was then) with a percentage of my milk but the rest I used. The lamb I produced went to local butchers.
At Locks Park we realised very early on that to make the farm pay we would have to do the same. We also signed up to green farming schemes which initially made the difference between profit and loss. In the mid-nineties I began to develop a direct selling business which grew successfully until I decided to sell it a couple of years ago. Interestingly, when I sold the meat direct to customers it looked as if the money made for each individual animal was double that made compared to selling to butchers, though after removing costs and overheads there was very little difference in profit but a lot less work!
So what do I do now? I have been followed by some of my faithful and loyal customers who missed the taste and quality of my beef and lamb, and the knowledge of provenance, welfare, farm and farmer. I have picked up some new enthusiastic customers from working in Exeter. Still having the skeleton of the production side of my old business in place it is easy enough for me to continue to supply them with the best meat available! Surplus steers and lambs I sell directly to other small direct selling farm businesses. Breeding stock are currently attracting a good price.
But the bottom line is, that the 100 or so acres we farm is not nearly enough to support a family. That’s why small family farms across the country have had to diversity into activities like B&B, stables and workshops to survive. It’s seems somehow vaguely immoral that 100 acres of good land would support a village over much of the world but here can’t support a single person.
This is a very generalised overview. If anyone would like me to be more specific on certain topics just let me know.


8 comments
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January 13, 2008 at 6:10 am
heidi
Oh how I wish I could buy your beef!
But, we do our best here to support our farming friends.
We buy our lamb, mutton in truth, and pork from a good friend.
I pay for their feed and the hard work to raise them, and in turn we have some of the best pork and lamb(er.. mutton) anyone could ask for.
Is it cheap? Hell no. But as an artisan I know what my work costs, and I look at farming or animal husbandry as an art or craft, so Iam perfectly happy to support my friends efforts. Also I know how well and cared for those animals were.
Thats’ important to us, supporting the efforts and work of others who bake our bread, grow our veg and get up at 5am to feed my future sunday roast.
January 13, 2008 at 4:51 pm
Jane
I had to leave this post until I had the time to read it properly, now I have read it I’ve found it really interesting. As someone who is nothing to do with farming, but has many farmer friends, I know very little about all this. I buy my food locally (as much as I can!) and the quality is excellent. I will continue to buy like this, and hope that the costs farmers are experiencing will eventually go down. One of my main concerns is the environmental impact of farming. What are your feelings about this? (perhaps this is another post for you!).
January 13, 2008 at 10:15 pm
paula
How I wish I could sell you some Heidi!
And thank you for pointing out that real quality does come with a price tag and deservedly so. Also how important it is to support those local artisans, makers and producers - it is a vocation yes, but as you point out, the time and energy involved is immense.
It’s good to know there are like minded people all over the world. We will make a difference!
January 13, 2008 at 10:19 pm
paula
Well Jane, the next post on some of the issues around the environment and farming are up there for you. If you want me to write on something more specific, like carbon footprints or the damage that cattle farming is having on the environment I can do that too.
January 14, 2008 at 11:05 am
Jane
Thanks for the environment post. I was particularly worried to hear that set-aside is being abolished (is this right?). This seems to have been a real friend to wildlife in the years it has been taking place. Once all fields are back in production will this (in your opinion) have a bad effect on wildlife, especially some of the birds and flowers which seem to be flourishing in set-aside land? Also, now that some fertilizers/weed killers have been abolished, it seems to be having a major positive effect on birds such as buzzards, sparrowhawks and also mammals such as otters. What, if any, grants does a farmer get, that would allow him/her to improve wildlife on their farm? or is it just all down to the farmer? and whether he/she can afford to leave a larger area unseeded around the edge of the field, or can afford to cut around nesting ground birds? Also, do you get any incentives to put back hedges? Your thoughts on this would be interesting. Thanks….
January 14, 2008 at 12:08 pm
paula
Okay, Jane, thanks for the feed back. I’ll post something on the above…
January 14, 2008 at 1:41 pm
Gill
Thanks very much for that Paula. I found it very enlightening. I only get my meat from Waitrose, Richard Guy’s butchers or the farmers market. I think it’s a terrible shame that small farms can’t make enough money to sustain their family without diversifying.
January 15, 2008 at 10:21 pm
paula
A pleasure Gill. Yes, it’s a great shame - but come Armageddon, which a friend assure me is going to be this year, they will come into their own!