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3.
June
2016.
5 year storage plan helps South West farmers cash flow


PRESS RELEASE

 

Date:June 2016

 

No. of words:389

 

Title:DEVON GRAIN'S NEW 5-YEAR STORAGE PURCHASE PLAN HELPS FARMERS

BEAT CASH FLOW CONSTRAINTS


Devon Grain members can now better manage their business with a new attractive and affordable purchase contract.

Devon Grain has expanded its grain storage options to help farmers ease the strain on their cash flow. The company - one of three under the West Country Grain umbrella, which also includes Kernow Grain and Cannington Grain - is introducing an even more attractive long-term storage purchase contract, this time with a five-year term.

Devon Grain's Board of Directors is only too aware of the constraints currently placed upon farm cash flows. The company's storage options present farmer members with the convenience of long-term storage, without making a significant impact upon their finances. Duncan Lyon, Devon Grain Store Manager, explains:

'With such low commodity prices at the present, this new option spreading the cost of purchase space in our store will help make central storage more affordable, particularly for some farmers who are looking to explore the diversification potential of existing farm buildings.'

The new five-year option will be offered alongside an existing two-year option, giving farmers the flexibility to free up their cash flow while making the most of the 2016 harvest. Devon Grain's Collumpton site offers cleaning and drying facilities to ensure that the grain stored on the premises, which has a capacity of 25,000 tonnes, is kept in top condition and ready to enter the market. By spreading the cost of storage over five years, farmers can better manage their books thanks to the affordable repayments. This allows them to reinvest in their business and ensures their operation remains profitable.

Devon Grain works in partnership with West Country Grain Marketing and in turn Openfield Agriculture, allowing growers across the South West to access new markets. As members of Devon Grain, farmers have access to a range of local and export marketing opportunities, which can easily result in a £2-£3 premium for feed grains. This was recently achieved for a shipment of 61,000 tonnes of premium feed grain, which was loaded at Portbury Grain Terminal destined for the USA.

West Country Grain, Devon Grain's marketing partner, was formed in 1985 from a merger of four grain marketing companies. It's 500-plus members have access to a range of services, including grain testing to all-but-eliminate end-customer rejection, tracking and logistics technology, and well-establish supply chains. Each year West Country Grain handles over 165,000 tonnes of combinable crop commodities.


Notes to Editors:

If you are interested in knowing more, please contact:

Duncan Lyon

Tel: 01884 32827

Email:Duncan@devongrain.co.uk