Wednesday, November 6, 2019

High performance will help farms survive Brexit

Strutt and Parker look at the effects of a no deal Brexit on agriculture: No Deal impact

They argue, 'The best insurance for a farm business remains to be as high performing as possible. Top-performing farms (in terms of the ratio of what they produce compared with the inputs needed to produce it) are in a far stronger position to cope with the changes.'

Another paper looks at the effect of changes in the funding of farm support: Funding gap

The paper argues, 'The changes will most affect farms that are highly reliant on Basic Payments - cereals, mixed and lowland livestock farms. Sectors like dairy will be less affected.'

They advise, 'Farm as efficiently as possible; the top 25% businesses are less reliant on direct payments and more resilient to volatility. Farmers should continue to look for ways to improve their farming systems, in terms of outputs and markets for their products, variable and fixed costs.'