Farmers cooperative increases turnover by more than 27 per cent

AtlasFram Group, the UKs largest farm inputs purchasing and crop marketing business, recorded a 27.1 per cent increase in turnover during the last six months of 2010, which it attributes to a combination of new Members joining the Group, a rise in purchases of farm inputs by existing Members and a much higher tonnage of combinable crops being handled by its in-house Crop Marketing Department.

The Group, which is based in Suffolk and serves 1050 Members farming 700,000 acres throughout England, says that during the six-month period the value of goods ordered through its Purchasing Department increased to 63,835,080, compared with 50,241,396 in 2009, a 27.1 per cent increase. The increase in purchasing activity was underlined by the number of invoices issued by its Accounts Department, which increased by 5.6 per cent to 93,733.

A key growth area for AtlasFram was in livestock feed, with orders increasing by over 10% per cent, reflecting a more pro-active approach on the part of AtlasFrams Livestock Department and Members greater commitment due to the value obtained by purchasing through the Group.

During a year in which 11% fewer tractors were sold in the UK the AtlasFram Groups Machinery Department recorded a record year, with Members purchasing 18% more CASE IH tractors. AtlasFram is now the only farm inputs purchasing cooperative which is able to offer the special terms which it has negotiated with CASE IH, enabling Members to enjoy savings that they would not otherwise be able to obtain and which can amount to thousands of s on a single purchase.

Members purchases of fuel increased by 13.1 per cent to more than 28 million litres and despite massive increases in the cost of fuel and electricity on the spot market over the winter period, collectively they saved hundreds of thousands of Pounds as a result of the Groups specially negotiated contract on electricity and advanced warning to Members of price rises on fuel.

Volume growth in other sectors reflected the better crop prices which, in turn, led to increased demand for products such as pre-emergent herbicides, nitrogen fertiliser and cereals / OSR seed.

AtlasFrams Crop Marketing Department, a key part of the Group which provides a comprehensive marketing service for Members cereals, oilseeds and pulses, has also gone from strength to strength due to a wider range of marketing options and improved returns following the recent alliance with ADM Direct, one of the UKs leading grain merchants.