Vincent Coolbergen / KMWP

Interview Vincent Coolbergen

'Stopping beets best long-term option'

13 December 2022 - Niels van der Boom - 27 comments

The Koninklijke Maatschap de Wilhelminapolder was for many years the largest sugar beet grower in the Netherlands. But in 2023, for the first time, no beet will grow on the largest private arable farm in our country. "The crop no longer fits into the long-term vision," says director Vincent Coolbergen.

What is your main motivation for stopping sugar beet cultivation?
"This is twofold: On the one hand, the financial return. The costs have risen considerably in recent years, especially for seed and crop protection. At the same time, the effectiveness of the ever-narrowing product package is decreasing. That makes it a more difficult cultivation, which has an impact on the financial yield. Yields per hectare have increased, but for that you have to incur more costs and you run greater risks. The late harvest in particular is an attack on our clay soils. That is not in line with the sustainability ambition that we have set as a company, short and long term."

The prospects for a good payout price have improved considerably in recent months. The price of LLBs has also increased. Isn't that – looking back now – a bit sour?
"We have been looking critically at cultivation for much longer, at least five years. We have discussed this extensively with Cosun. At the top, our acreage was 270 hectares of sugar beet. This year that was still 140 hectares. That halving says enough. We tests that Cosun is aiming for an increasingly longer beet campaign. With our acreage, this means that part of it always has to be harvested late. We do everything we can to treat the soil as best as possible. In order to finally compact it strongly - with all consequences – just doesn't feel right."

To what extent has the high grain price been a motivator to stop now?
"That was certainly not decisive. As said, we have been talking about it for years. Wheat and sugar are both commodities and are linked to each other to a greater or lesser extent. A greater advantage may lie with the new CAP."

The new Common Agricultural Policy (CAP), explain?
"We can achieve gold status relatively easily on our farm. Because we have an extensive cultivation plan, but also because we no longer have to deal with the late harvest of sugar beets. The CAP aims to harvest early. says enough, I think. I hear from fellow arable farmers that they are struggling with achieving gold status for the maximum hectare premium."

Which crops replace sugar beet in the rotation?
"Grain, legumes (brown beans and field beans) and alfalfa are all expanding a little bit. It is surprising how quickly the area was filled in. An additional advantage is that we can more easily move into the cropping plan with a multi-year crop such as alfalfa."

Why not introduce a new crop such as rapeseed or fiber flax?
"We did consider that. The plans to grow rapeseed had taken serious shape. When we got into talks with English growers, it turned out that snail infestation in potatoes is a major problem due to the combination of rapeseed, grain and potatoes. In the end, we have therefore decided against it. Flax cultivation remains a possible alternative for the future. The crop is known in the south-west and there are enough buyers. Grass seed is not interesting to us. The hectare yield fluctuates too much and the harvest time coincides with that of grain ."

Is it easier for the KMWP to make this choice because the ownership of 400 bars gives a different financial starting point?
"That does indeed play a role. We have a strategic plan with ambitions and goals for the short and long term. Those ambitions are broadly defined. A practical choice to stop sugar beet is made by ourselves, but it fits our ambition of ' good stewardship."

Is a financial result per hectare therefore of secondary importance?
"You have to look at it company-wide. For example, winter wheat after sugar beet on our company structurally yields a ton less per hectare. You also have to include this loss in the total cost price calculation. Due to the extensification of the cropping plan, we see the yields of all crops increase, also with the potatoes. We expect this upward trend to continue."

Would you have made the same choice if it were a traditional company?
"Certainly! I also see fellow arable farmers struggling with beet cultivation. They face the same challenges. Look at your entire business to see what fits best. I understand that someone who does not grow potatoes opts for sugar beet, but both harvesting fruits in one cropping plan is too intensive on our land. It surprised me how quickly all LLBs found a buyer. Many companies have all bought a little bit to grow."

Finally: does the future of the KMWP lie in further growth and an extensive construction plan?
"Growth is not an end in itself. When opportunities arise, we consider this on a case-by-case basis. In addition, we are increasingly collaborating with neighbors and integrating part of their business into our business operations. The core of the construction plan remains the consumption potato, with a acreage of 370 hectares. Stopping beet cultivation gives significant room during the labor peak during the autumn months. That is an additional advantage. The first-year and second-year onion sets remain a permanent feature."

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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
27 comments
Subscriber
Zeeuw 13 December 2022
This is in response to it Boerenbusiness article:
[url = https: // www.boerenbusiness.nl/akkerbouw/artikel/10902018/stoppen-met-beeten-best-choice-for-long-term]'Stopping with beets best choice for the long term'[/url]
Because the sugar factories continue to operate well into January, it is true that this is an attack on the soil structure
A tough decision, but it is neat to communicate about this at an early stage with the sugar industry
Subscriber
juun 13 December 2022
a risk to anticipate a possible new cap which has now been postponed and mss is also being adjusted so that it is easy to get mss to get gold.
Subscriber
Flevo outing 13 December 2022
juun wrote:
a risk to anticipate a possible new cap which has now been postponed and mss is also being adjusted so that it is easy to get mss to get gold.
The CAP has not been postponed, the 7th AP has been postponed, that's something else. So for GLB you just have to sow buffer strips and not 7eAP....
It can freeze or thaw 13 December 2022
Zeeland wrote:
This is in response to it Boerenbusiness article:
[url = https: // www.boerenbusiness.nl/akkerbouw/artikel/10902018/stoppen-met-beeten-best-choice-for-long-term]'Stopping with beets best choice for the long term'[/url]
Because the sugar factories continue to operate well into January, it is true that this is an attack on the soil structure
A tough decision, but it is neat to communicate about this at an early stage with the sugar industry
Idd, what you earn on one side you might spend twice on the other.

I still see enough growers who are still sowing wheat on rotten beet land, it is very questionable whether this will still give a good yield.
Subscriber
bit happy 13 December 2022
Regrets kwp, bit of a rough course in a stormy time I think. With the acreage halved it was still a nice area, with a little good planning you can easily harvest beets under excellent conditions and sow wheat at the same time. And entrepreneurship is not racing for gold from a subsidy pot where you can jump through more and more hoops. Time will tell....
Subscriber
juun 13 December 2022
bee happy wrote:
Regrets kwp, bit of a rough course in a stormy time I think. With the acreage halved it was still a nice area, with a little good planning you can easily harvest beets under excellent conditions and sow wheat at the same time. And entrepreneurship is not racing for gold from a subsidy pot where you can jump through more and more hoops. Time will tell....
agree. I think it is also more a matter of having enough storage for the beets, but you can pour concrete or have plates laid for that. and how the EU is now messing around does not help the European sugar market in revenues.
Subscriber
tokies 13 December 2022
juun wrote:
bee happy wrote:
Regrets kwp, bit of a rough course in a stormy time I think. With the acreage halved it was still a nice area, with a little good planning you can easily harvest beets under excellent conditions and sow wheat at the same time. And entrepreneurship is not racing for gold from a subsidy pot where you can jump through more and more hoops. Time will tell....
agree. I think it is also more a matter of having enough storage for the beets, but you can pour concrete or have plates laid for that. and how the EU is now messing around does not help the European sugar market in revenues.
Think like an entrepreneur....
shoemakers 13 December 2022
I can understand them well, those **** turn their backs on Cosun, sooner or later you will catch that ****
Subscriber
xx 13 December 2022
They will surely regret it. The golden times of the past will not return, but in the long term the difference between wheat and beets is more than enough to more than compensate for the structural damage. Maybe they hate covering the heaps.
Subscriber
juun 13 December 2022
xx wrote:
They will surely regret it. The golden times of the past will not return, but in the long term the difference between wheat and beets is more than enough to more than compensate for the structural damage. Maybe they hate covering the heaps.
in Zeeland they have nothing to complain about compared to the rest of nl in terms of covering. I think it's more of a staff thing.
Subscriber
Peer 13 December 2022
can easily follow the choice of such a large capital-rich company.

he says he makes the same choice with a traditional family business. think he is a bit too tough with that, working with the family his farm and wallet remains a different story
Subscriber
green yellow 13 December 2022
Sugar industry does not pay well. Also this year a cigar from our own box.
52 euros is too low. In our region due to extreme summer low sugar content and also yield lags behind. However, considerable costs were incurred for irrigation.
If not, maybe only 49 euros. Then the difference with last year is minimal.
Other contract crops go up 50%!!!!!!
green 14 December 2022
what were the yields green/yellow?
you do have a point, especially if the harvest times turn out less and due to extreme weather, which occurs more often, the basic balance must be increased much more, personally think that next season 60/61 euros should just be the bottom and 16 sugar the standard one flatter payment price that is also feasible on average
Subscriber
yellow 14 December 2022
With 135 tonnes net of beets and 17,4 sugars, I can grow fine beets for 49 euros, but 60 euros is of course always better!
Subscriber
Amateur grower 15 December 2022
Poah, sure. 20 tons of sugar and tight sowing, then it is manageable. I agree with the objections of that January thing. Cosun insists a little too much on this. Things should be over by Christmas.
shoemakers has already sold his llb's before I think to read his response.
I also understand green-yellow, but if you have read carefully on another agri platform, you should not be surprised that the payout price is heading towards 60 euros. Because the sugar prices are top.
Concrete for beet storage is currently unaffordable, so you don't have to pay those kinds of costs.
But I'll keep going, wheat will stabilize again one day. Even though there are 8 billion people and the number is growing, strange things will happen in the coming years and purchasing power will decrease and grain will become slightly cheaper again.
Subscriber
juun 15 December 2022
so frost control is open with a good discount of 12 euros mss that they learn it now. if they take the premium for late delivery, also take it off.
ground worm 15 December 2022
Beets must be able to be delivered much later, until mid-March than much drier weather, in order to harvest immediately after sowing spring wheat.
The experts say that as the earth warms up, you don't have to be afraid of frost.
Perhaps cultivating varieties that freeze less quickly is also possible.
Subscriber
juun 15 December 2022
groundworm wrote:
Beets must be able to be delivered much later, until mid-March than much drier weather, in order to harvest immediately after sowing spring wheat.
The experts say that as the earth warms up, you don't have to be afraid of frost.
Perhaps cultivating varieties that freeze less quickly is also possible.
if it were that easy, there would already be varieties that can withstand frost. in america canada they always have frost but they just freeze the bumps there. and there the campaign continues until May. only there have they also had that they no longer have to dig up the beets due to frost. for disease transmission you certainly don't want them to be able to stand until March.
Subscriber
frog 15 December 2022
groundworm wrote:
Beets must be able to be delivered much later, until mid-March than much drier weather, in order to harvest immediately after sowing spring wheat.
The experts say that as the earth warms up, you don't have to be afraid of frost.
Perhaps cultivating varieties that freeze less quickly is also possible.
beet prices of 75 euros for longer storage then it might be possible to build a simple shed for it.
Subscriber
time bomb 15 December 2022
And then let the factories shut down regularly due to stagnant supply, eg abundant rainfall, or severe frost. Beets should be on the heap at the end of November, if necessary cover dry. Many growers want ''and/and'', and that doesn't always work out, so it seems to me at your own risk
ground worm 16 December 2022
Closing the factory before Christmas and restarting on February 1 also requires less sugar storage.
Subscriber
Noord 16 December 2022
groundworm wrote:
Closing the factory before Christmas and restarting on February 1 also requires less sugar storage.
What do you think it will cost to start up the factory and warm up the boiler? That's not paying twice
Subscriber
juun 16 December 2022
North wrote:
groundworm wrote:
Closing the factory before Christmas and restarting on February 1 also requires less sugar storage.
What do you think it will cost to start up the factory and warm up the boiler? That's not paying twice
just look at those malfunctions they have had in recent years, then getting the factory back to full capacity takes at least a week.
Subscriber
Southwest 16 December 2022
We don't have to worry about the factory, but we do have to make sure that the beets are out and well covered in case of frost. Nothing else
Subscriber
not 16 December 2022
Exactly Southwest.
Subscriber
juun 16 December 2022
Southwest wrote:
We don't have to worry about the factory, but we do have to make sure that the beets are out and well covered in case of frost. Nothing else
certainly true. that's our problem
Subscriber
Noord 16 December 2022
Southwest wrote:
We don't have to worry about the factory, but we do have to make sure that the beets are out and well covered in case of frost. Nothing else
Fully agree. That's why I'm not in favor of splitting the campaign ;-)
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