Advantages
Farm storage has its own challenges brought about from increased combine capacity, labour availability and infestation risk. This can influence how and when a crop is sold. It is our strong belief that it shouldn’t.
But how does this affect you and how can Aberdeen Grain help you address these problems?
Problem: Marketing your crop
If you are traditionally a harvest seller, you will struggle to achieve the maximum value for your crop at a time when values are normally at their lowest.
Our Solution: Cooperating to create efficiency and marketing strength
Our malting barley is some of the best in the UK if not the world. In order to realise this value, we have to be able to present a guaranteed quantity of known specification and provenance to the consumer throughout the year. A collective approach gives us this scope and enables us to have build long term relationships with the grower.
Problem: Cost of rejections to the grower
Currently the percentage of rejections by the consumer is 5%. The annual cost of rejections to the
Scottish Malting Industry is estimated at £2.5million and this is never recouped by the grower.
Our Solution: A central store handling all commodities
Quality is paramount to Aberdeen Grain. The quality of every load is checked before it leaves the store to ensure it meets all of the consumers’ standards.
Problem: Managing time at harvest
Managing time at harvest is extremely challenging with slow intakes, increased combine capacity and slow drying capacity.
Our Solution: Delivering higher levels of service to all stakeholders
With an intake capacity of 600tph, we can guarantee a collection from farm within two to three days of harvest. Every member will know exactly which commodity is moving and when.
Problem: Managing cash flow
In the majority of cases cash flow is eventually the driver to sell.
Our Solution: Three cash payments
All of our members receive two advances before a final payment is made when the last of the crop is moved out of store and the final weights are known.
Problem: Tax benefits are no longer available for on farm storage
The tax benefits that existed for own farm storage are no longer applicable.
Our Solution: Central Storage is 100% tax efficient
Central storage is highly tax efficient with purchase of storage rights paid from your grain revenue and therefore tax allowable.
