Jon Duffy Frontier Agriculture Ltd Malvern Farming Conference 15 th

Jon Duffy Frontier Agriculture Ltd Malvern Farming Conference 15th November 2012

Activities

Grain Marketing

Grain Logistics

Grain Storage

Grain Exports

Seed Processing

Crop Nutrition

Activities

Crop Agronomy

Agronomy Trials

Contract Services

Precision Farming

• Resources • Economics • Politics

POWER IN AGRICULTURE AGRICULTURE HAS POWER – and a very bright future!

London Wheat Futures Nov LIFFE futures 250.00

200.00

150.00

100.00

Real power sits with the consumer/retailer/ 50.00 processor Tony Blair: “UK needs to concentrate on 0.00organic niche farming”

Paradigm shift of power. Consumer is squeezed, retailing is putting margin pressure on processors – power sits with farmers & traders David Heath: “we need a production supply industry that concentrates on productivity and can thrive without unnecessary Nov LIFFE futures barriers from Government”

Projected World Population Growth 2011 to 2050 (From 7 to 9.5 billion?)

Northern Hemisphere Grain Belt

Growth in wheat imports = 40.4 MMT Latin America +300 million

Growth in corn imports = 40.9 MMT Africa +1 Billion

Asia +1.8 Billion

Mid-Latitude Demand Concentration

Southern Hemisphere Grain Belt

Source: US Wheat Associates

Second Agricultural Revolution – Collaboration in the supply chain

Second Agricultural Revolution – Collaboration in the supply chain

Second Agricultural Revolution – Collaboration in the supply chain

The UK has to... • Identify strengths

• Embrace technology • Re-invest • Employ the best people

• Recognise comparative advantages