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British beet grower's confidence plummets

12 March 2021 - Niels van der Boom - 3 comments

Now that it has become clear that sugar beet growers in the United Kingdom cannot count on seed coated with neonicotinoids, confidence in cultivation is falling to an all-time low. The customer British Sugar refuses to pay a profitable contract price and extra-statutory requirements increase the cost price. Does beet cultivation still have a future?

The British Beet Research Organization (BBRO) – the British version of the IRS – made final announcement in early March that the threshold for triggering a derogation for neonics-coated seed had not been met. Where at the beginning of January, growers were still jubilant about an exemption, the party now ends with a big hangover.

Derogation not allowed
'The devil is in the detail', the British say. This certainly applies to the derogation on coated seed. This was announced at the beginning of January by the Ministry of Agriculture DEFRA. A clause was included in the derogation that - if the predicted damage threshold does not exceed 9% at the end of August - there is no reason for an exemption. Moderate frost in February has ensured that the first lice flight is not expected until May 18. According to the model used, this means a damage pressure of 8,37% for the end of August. Not sufficient for a derogation.

This means that seed may not be treated with Cruiser SB neonicotinoids in the United Kingdom. An additional problem is that, after the derogation was announced at the beginning of January, many growers opted for coated seed. This seed has been treated and already delivered to the companies. It is currently unknown whether this must be returned or whether sufficient uncoated seed is available. Growers fear delays in deliveries, which will prevent them from sowing on time.

Emergency permissions
Beet growers have now received 2 temporary permits for this growing season. One for the granulate Vydate 10g and the other for 1 spray with Teppeki. The BBRO has applied for an emergency exemption for two more insecticides. These have not yet been awarded. Due to the lower lice population, a lower risk of infection may be expected, but the chance of the yellowing virus in beets is high, according to the BBRO. This is due to the extremely high disease pressure last year, which can survive in plant residues or unharvested crops.

It is another setback for growers on the island. They are struggling with a beet price that is considerably lower than the cost price. For the 2020 growing year, British Sugar (the sole buyer) will pay £22,50 per tonne of beet (at 16% sugar), for a 1-year contract. Converted about €26,25. This while the cost is almost €35, beet grower Andrew Ward says on Twitter. This year the contract price is at the same level. There will be a risk fund for loss of yield due to the yellowing virus. This offers the growers a blanket for the bleeding and does not cover all damage.

many stoppers
As a result, many companies stop growing. Sometimes after 70 or 80 years. The risks have simply become too great and the payout price does not cover the costs. In addition, the delivery conditions are unfavourable. For example, the British campaign will continue until the beginning of March, which means that frost damage and soil compaction are lurking. The acreage has fluctuated considerably over the past 10 years. In 2010, 118.000 hectares of sugar beet were still being grown. The lowest point was in 2015 with only 90.000 hectares. Last season the acreage amounted to 104.000 hectares. Now that wheat has once again become a more attractive alternative, arable farmers have a choice.

A third bottleneck for British farmers is the Red Tractor quality mark. A kind of PlanetProof certificate that sets requirements that exceed the statutory requirements for the product. British Sugar only purchases beets grown according to these production rules. Growers are increasingly dissatisfied with the agreement. According to them, sugar is a global commodity and the additional costs of this scheme do not pay for themselves. The requirements work fine when it comes to animal welfare, but not for products such as sugar and wheat. This is also the conclusion of the farmer's representative NFU.

Dead end
The UK has another major sugar producer: Tate & Lyle. They only process raw cane sugar. Beet growers cannot compete with the lower price for this type of sugar. They accuse the government of partiality and fear that the import of cane sugar by T&L, and beet sugar from France, will only increase, as is already visible in the figures. As a result, beet cultivation has come to a dead end after more than 100 years.

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Niels van der Boom

Niels van der Boom is a senior market specialist for arable crops at DCA Market Intelligence. He mainly makes analyses and market updates about the potato market. In columns he shares his sharp view on the arable sector and technology.
Comments
3 comments
Subscriber
frog 12 March 2021
This is in response to it Boerenbusiness article:
[url = https: // www.boerenbusiness.nl/akkerbouw/ artikel/10891371/trust-britse-bietenteler-keldert]British beet grower's confidence plummets[/url]
To start with the basics buy a plow and use it to plow crop residues under, they should also oblige here to make it more sustainable!
Subscriber
peta 12 March 2021
Yes frog then you know for sure that you have no more natural enemies and have to start with the syringe.
Subscriber
cm 12 March 2021
petatje wrote:
Yes frog then you know for sure that you have no more natural enemies and have to start with the syringe.
Frog is absolutely right and that of those natural enemies makes no sense. It is precisely with ploughing that you limit the spraying with insecticides and fighting fungus also only has advantages with plowing. Too bad it doesn't fit the bill, but unfortunately peanut butter.
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