APPENDIX 22
Letter to James Gray MP from Mr P H Crocker
Dairy Farm Income drop at Purlieus Farm, Minety,
producing 1.3 million litres of milk each year.
|
| Commodity | Milk
| Milk | Milk
|
| Year | 1996-97
| 1997-98 | 1998-99
|
|
| Income | £326,169
| £263,539 | £245,124
|
|
Milk sold to Northern Foods and then Express Dairies. During
the three years the cows increased their yield between 200 and
400 litres per cow per year so milking cow numbers could be reduced.
|
| Commodity | Calves
| Calves | Calves
|
| Year | 1996-97
| 1997-98 | 1998-99
|
|
| English bulls | £100
| £85 | £38
|
| Continental bulls | £200+
| £120+ | £80+
|
| Continental heifers | £110+
| £75+ | £20+
|
| English bulls | £110+
| £70+ | £40+
|
| English heifers | £65
| £45 | £2.50+
|
|
These prices are before transport, levy and commission on sale
costs, only when the beef ban is properly lifted and sterling
reduced in value, will calf prices increase.
|
| Barren cows | 1996-97
| 1997-98 | 1998-99
|
|
| Price | £410
| £320 | £230
|
|
Before transport costs, vet costs, levy and commission.
Milk income from quota—widening gap between imports and
home produced products because of strong sterling will further
reduce milk income over the next 18 months. Quota is now too expensive
if you wish to expand to either lease or buy, with milk prices
falling it is not viable. Too many non-producer farmers hold milk
quota and get an income of 20 per cent from these investments.
Sterling prices will continue to reduce further cull values and
calf prices without a trading market abroad for both. The sterling
price will drive some home-produced feed and fertilizers up in
price, plus supermarket restructuring will reduce the use of home-produced
products. The Dutch would like our calves and the French our barren
cows; we need desperately to join the European market. I see very
little future for dairy farming in England. We need a proper European
market, then dairy farming will improve.
11 June 1999
| 
