Agricultural contracting prices for 2020-21 published

Agricultural contractors have become an integral and vital part of UK agriculture
Agricultural contractors have become an integral and vital part of UK agriculture

New guide contracting prices for 2020-21 have been published, giving a UK national average to help benchmarking for contractors and farmers.

The guide shows that overall, there has been a slight upward trend in prices from 2019, reflecting the increasing cost of staff and inputs.

However, prices may still vary significantly with region, soil type, customer size and machinery, the National Association of Agricultural Contractors (NAAC) said.

Farmers have been told by the body to expect contracting prices to be quoted higher or lower than the guide.

"Inevitably, in coming weeks, I will hear that these costs are both too high and too low," Jill Hewitt, NAAC chief executive said.

"But I urge contractors and farmers to work in partnership, making certain more than just cost is weighed up.

"Consider if safety management is in place, if environmental scheme requirements will be met, if there is sufficient specialist insurance and whether there will be security and longevity on both sides."

The guide contains average prices surveyed from NAAC members – however the actual price may vary considerably between regions, soil types, distance travelled and size of contract undertaken.

Contractors may also have individual arrangements with customers regarding diesel, for example separate fuel surcharge and fuel used on-farm.

The prices in the guide do not reflect this market trend and may make a significant difference to contracting charges.

Prices in the guide are based on red diesel at 60p per litre.