
Input costs, Rewilding nuance, Vineyard expertise
The 博鱼体育集团 Frank Rural Property and Business Update – Our weekly dose of news, views and insight from the world of farming, food and landownership
17 January 2022
博鱼体育集团
I鈥檝e never subscribed to the conspiracy theories about the 鈥渕ainstream media鈥� peddling misinformation spoon-fed to them by some mysterious elite, but it can sometimes be exasperating to read articles about farming that have obviously been dashed out quickly with no real insight. The rewilding frenzy following last week鈥檚 government announcement of its Landscape Recovery scheme was a good case. We aren鈥檛 going to see huge swathes of England rewilded overnight, and it鈥檚 unlikely such schemes will threaten food security. However, it鈥檚 not just the media who don鈥檛 do their research. A politician lauding higher commodity prices, without mentioning the commensurate surge in input costs is asking for trouble. Luckily our rural experts know what they are talking about, and we have just recruited four new members to our consultancy team, including our very first Head of Viticulture. Cheers!
Do get in touch if we can help in any way
Andrew Shirley, Head of Rural Research
In this week鈥檚 update:
鈥� Commodity markets 鈥� Input costs spiral
鈥� Land prices 鈥� 2022 starts strongly
鈥� Rewilding 鈥� A nuanced perspective on our podcast
鈥� Rural consultancy 鈥� New viticulture expert joins expanding team
鈥� The Rural Report 鈥� Sign up to watch our ground-breaking video
鈥� Overseas news 鈥� Irish land values boom
Commodity markets 鈥� Input costs spiral
There are always two sides to an equation, and when Defra Minister George Eustice concentrated on just the outputs side of things at the recent virtual rendition of this year鈥檚 Oxford Farming Conference he stoked the ire of farmers. Mr Eustice said that the rise in commodity prices could cancel out this year鈥檚 reduction in farm subsidies. But with red diesel prices up 23p/litre on this time last year and ammonium nitrate costing around £400/tonne more, much of those gains will have been negated. Some fields earmarked for spring plantings may no longer get planted, farmers are warning.
Land prices 鈥� 2022 market starts strongly
In case you missed last week鈥檚 update, the full-year figures for the have just been released. They reveal that the average price of bare agricultural land in England rose by 10% to £7,580/acre in 2021. Will Matthews of our Farms & Estates team says the main drivers supporting values - limited supply and strong demand - look set to continue this year.
鈥淚鈥檝e definitely had more people ringing me up so far this year looking for land, mainly eco and rollover buyers, than those thinking of selling.鈥�
Download the full report for more insight and data
If you are thinking of selling into a strong market do get in touch with Will
Rewilding 鈥� A nuanced perspective on our podcast
Following the recent launch of the government鈥� the press has sent itself into a frenzy about how much of the UK is going to be rewilded as a result. Of course, landscape recovery is about much more than rewilding, so I was delighted to join my colleague Tom Heathcote, Head of our Agri-Consultancy team, on 博鱼体育集团 Frank鈥檚 Intelligence Talks podcast to add some nuance to the debate. I hate listening to my own voice, but apparently, it鈥檚 quite good! Have a listen to see if you agree.
Rural consultancy 鈥� New viticulture expert joins expanding team
It鈥檚 always exciting to be working with a growing team so it鈥檚 great to be able to share the news that our Rural Consultancy department has just recruited a host of new talent. Joining us this week are Claire Whitfield, Jess Waddington, Zoe Smith and Ed Mansel Lewis. Claire and Zoe will be bolstering our land agency presence in the north of England, while Jess will be based in East Hendred. As a wine lover, Bristol-based Ed鈥檚 appointment as our very first Head of Viticulture is particularly exciting! Do get in touch.
The latest edition of The Rural Report, our unique publication for rural landowners and their advisors, was launched with a video highlighting some of its key content around the topic of ESG. If you missed it, you can sign up to watch on demand at your leisure. It was a lot of fun making it and includes a thought provoking interview on diversity, with Wilfred Emmanuel-Jones AKA The Black Farmer. I think you鈥檒l find it both entertaining and informative.
Overseas news 鈥� Irish land values boom
A by the Farming Independent reveals that the average value of Irish farmland rose 14% last year to 鈧�13,296/acre.
Transactions totalled 鈧�73.4m, an increase of 34%, with the acreage sold also up 17%. South Leinster was the most expensive region averaging 鈧�16,110/acre. Around 75% of the sales were conducted online, which may have helped push up prices as neighbouring farmers were able to bid anonymously.