East of England specialist grain cooperative Fengrain has increased its processing and storage capacity for the 2006 harvest and plans further investment to meet the growing need for central storage and value added marketing.
The £400,000 investment at Fengrain’s Wimblington facility was officially declared open by NFU Vice President Paul Temple on 6 July. For harvest 2006 this will mean an extra 5,300 tonnes of storage capacity plus improved facilities to speed up intake during the busy harvest period.
The new facilities are the first step towards achieving a vision for the Fengrain store which has been devised by a working group set up last Autumn. Ultimately the aim is to have some 116,000 tonnes of storage capacity with increased ability to process, segregate and prepare grain to specific customer needs, thus optimising added value opportunities.
“We have identified several key factors that are driving the industry towards an increased use of central storage facilities such as our Wimblington store,” says Fengrain Chief Executive Mark Isaacson.
“On many farms, grain stores are becoming dated and in need of repair. As grain yields increase, there is often insufficient capacity to store the crop. What’s more, as farmers look to diversify, farm buildings can often earn far more income from alternative uses.
“At the same time, the market is becoming increasingly sophisticated. Buyers’ specifications, along with the demands of regulatory and food assurance compliance, are ever more stringent.
“Central storage facilities remove the capital burden of on-farm storage; allow our storage expertise to be used to optimise the quality of a crop, enabling grain to be processed and segregated to optimise returns.
“From this harvest, Fengrain will operate a drying and dressing contract to supply malting barley to a large maltster. We are delighted by this and believe such supply agreements that guarantee quality on delivery, offer real benefits to our customers, as well as an opportunity for our members to gain added value from our storage operations.
“Alongside our storage facilities, Fengrain offers our members access to first class marketing skills to gain the best returns for their produce.”
The 2006 extension to the Fengrain facilities will allow the company to increase its storage of oilseed rape and process malting barley. It will also mark a significant step forward in gearing up to provide the regular supply of materials that the growing biofuel market will require.
