The one at Cantley, on the Broads has recently informed all the local Beet growers of their quotas for this year. Many have been reduced by 30%, some by more. Some of the growers have been told not to grow any at all this year.
Reason is as said earlier, we are obliged to import a certain amount of sugar from our European producers, furthermore, the amount of sugar being used in the food industry is, amazingly enough, reducing. This lower demand has also impacted on the wholesale price, which last year was £35/ton. This year, growers are to be paid £25/ton.
The cost to grow Beet is also very high, with high dependency on machinery to sow, fertilise and ultimately harvest. Harvesting machines cost in excess of £400k and have annual running costs in the region of £40k. Additionally, as a root crop, rotation is essential and Beet can only be planted on the same land every 3 years, so to make it economically viable, growers need to have large acreages available.
The estate/farm that I live and work on has just harvested 110,000 tons of Beet and whilst we have circa 9000 acres, we’re not the biggest grower by far. The result of the new quotas means that many local growers will be turning to other crops, which in turn will increase supply of them and thereby reduce their market price. Tough times ahead for the UK growing industry…