Cereal prices may have rocketed - but any gain is being wiped out by the swingeing rises in the cost of fertiliser, Suffolk farmers have warned.
Mike Porter, of Porters Farms Walpole, near Halesworth, farms around 248ha and his fertiliser costs this year put him back an additional £72k across all the farms he manages.
The price is so high he's cut back applications by 10% to save himself £8k.
"That is only the nitrogen fertiliser alone - without the additional cost of the compound fertiliser (0.30.20) which also doubled," he adds.
"Although crop prices have rising 100%, well beyond expectations, our inputs of seeds and especially fertiliser have risen nearly twice that of our produce 200%.
"Also, very few farmers had much grain left to sell when the Ukraine problem started. Grain pricing are starting to drop back but fertiliser has not changes much."
He isn't expecting a record-breaking year but thinks his yields - despite less fertiliser - will be "reasonable".
He is growing 248ha of winter wheat, 100ha of oilseed rape, 39ha of naked oats, 60ha of spring barley, 33ha of spring beans, 29ha of vining peas and 60ha of spring linseed.
Most crops in the area he is based look above average - considering the April drought - which possibly helped out Winter Wheat crop to put its roots down for moisture, he says.
But like most linseed growers his crops have suffered with the dry April, where up to 75% of the seeds did not germinate at all in places. There was 10mm of rain in April but it arrives in small doses of 2mm at a time - evaporating before it reached the seeds.
High costs are posing a similar problem for Chris Suckling, who runs a 240ha operation at Holbrook on the Shotley Peninsula where he grows wheat, barley, oilseed rape and sugar beet as well as his potato mainstay. Labour is also a headache.
"We still have three generations of the family working on the farm as well as invaluable overseas help which has been essential but difficult to add to which is due to leaving the EU," he says.
"We have seen some challenging scenarios played out in the last few months - fertiliser prices at a crippling high, fuel and energy costs spiralling upwards.
"One dealer we use could only guarantee machinery quotes for 48 hours as steel prices are rising daily.
His land sits between the Rivers Orwell and Stour leading to peculiar weather patterns and this year has been no different. Spring came early and crops established well. Warm weather brought them on and welcome rains in mid-May helped too.
"We grow 130ha of cereals including winter wheat and both winter and spring barley. We choose varieties that are readily sought after at harvest, but probably more importantly are easy to manage," he explains.
"We tend to run machinery more suited to a farm twice our size as timing is so important and the ability to complete tasks in a short window I think is vital."
He is growing 20ha of oilseed rape which was drilled in late September. He irrigated the land - then dry - which proved a good decision as the crop emerged before cabbage stem flea beetle - a pest which attacks the plant in its early stages - became a problem.
"The engine room of the farm - our 35ha potato crop - got off to a great start despite the shocking input prices," he says.
"I think this is going to be a good year for potato contracts as the markets seem to be saturated still with old crop which is in good shape still.
"We also rent British Sugar 30 hectares of land and act as contractors to grow the (sugar beet) crop. It’s safe in so much as the risks of beet on light land to us are eliminated although they look really well - and it’s a super break crop valuable to any rotation."
He also rents out 20ha to a red onion grower and provides the irrigation.
"Water, like nitrogen, on our soil types are key to yield so any compromise on either of these just comes off our bottom line. The onions are also a great break crop and the soil is generally left in good condition."
He is hoping for good yields and full barns, he says.
Glenn Buckingham, who farms on the Helmingham Estate at Framsden, near Debenham, says he is generally happy with his crops considering the dry spring.
"The winter wheat is looking very good considering and has really benefited from being on our clay soil," he says.
"Last week’s 19mm of rain has helped too - a fair proportion has been sold forward and I don’t think cereal prices are going to collapse, so will now wait till I have crop in barn before selling any more.
"Winter barley has also benefited from the rain and is also looking well."
However, his spring barley has suffered from the dry establishment period in places resulting in less tillering (shoots) due to the dry weather.
His combinable peas were drilled in May once the rain came and are up and away. He is growing them instead of oilseed rape and is also still experimenting with soya beans which are "growing nicely" and which he grew last year. "The peas look like they will again produce a better margin than the soya beans," he says.
Overall, he is feeling happy with his crops and is looking forward to the next stage of a Sustainable Farming Incentive pilot.
He already has 2500 tonnes of biosolids and farmyard manure to offset the high cost of artificial fertiliser, with more expected, he adds.
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