Investmentmeansrisk - farmers weekly

Investmentmeansrisk - farmers weekly

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6 SEPTEMBER 2002 ------------------------- INVESTMENTMEANSRISK As news of Amelca going into receivership spread, a few weeks ago, it left most producers already hard hit by the summers low prices feeling stunned. The 150 producer-investors including our Farmer Focus writer John Stanley had done what many of the industrys pundits had said: Investing further down the supply chain. Our hearts go out to the individuals involved and we hope that they didnt invest more than they could afford to lose. One lesson we all need to learn from this is that wherever money is invested risks are taken. For many of those with money in shares, ISAs or pensions, these messages have also been forced home this summer. The key question for producers now is do they continue to invest in processing. But the main reasons for investing still apply. These include gaining more control further down the supply chain, adding value which is returned to producers and keeping a floor in the market to secure better prices. Hopefully, these reasons will see producers continue to take more control of processing. But with closer consideration of the risks taken and low risk options taken where possible. These may include investing in current processors businesses, such as Milk Link, or buying shares in dairy companies. And there are still opportunities, with some good marketing, which will help producers gain more of the retail price for milk, as a group of producers featured in this Update have found. _Lancs branding success 6_ _High yields and grass go 8_ _Options for quota reform 10_ _Dairy Event preview 14_ _Californian calf rearing 18_ _Feeding cereals safely 20_ _FW/Eprinex competition 22_ _Why one herd beats two 24_ _TOP and PLI bull ranking 26_ _Testing teat cup liners 29_ _Non-antibiotic mastitis product 30concerns _ _Buying second-hand tractors 32_ _Bacteriology helps prevent 35mastitis_ _Strep agalactiae: Bug comeback 36_ _MRI cows show good potential 38_ _Edited by Jessica Buss_

6 SEPTEMBER 2002 ------------------------- INVESTMENTMEANSRISK As news of Amelca going into receivership spread, a few weeks ago, it left most producers already hard hit by the summers low


prices feeling stunned. The 150 producer-investors including our Farmer Focus writer John Stanley had done what many of the industrys pundits had said: Investing further down the supply


chain. Our hearts go out to the individuals involved and we hope that they didnt invest more than they could afford to lose. One lesson we all need to learn from this is that wherever money


is invested risks are taken. For many of those with money in shares, ISAs or pensions, these messages have also been forced home this summer. The key question for producers now is do they


continue to invest in processing. But the main reasons for investing still apply. These include gaining more control further down the supply chain, adding value which is returned to


producers and keeping a floor in the market to secure better prices. Hopefully, these reasons will see producers continue to take more control of processing. But with closer consideration of


the risks taken and low risk options taken where possible. These may include investing in current processors businesses, such as Milk Link, or buying shares in dairy companies. And there


are still opportunities, with some good marketing, which will help producers gain more of the retail price for milk, as a group of producers featured in this Update have found. _Lancs


branding success 6_ _High yields and grass go 8_ _Options for quota reform 10_ _Dairy Event preview 14_ _Californian calf rearing 18_ _Feeding cereals safely 20_ _FW/Eprinex competition 22_


_Why one herd beats two 24_ _TOP and PLI bull ranking 26_ _Testing teat cup liners 29_ _Non-antibiotic mastitis product 30concerns _ _Buying second-hand tractors 32_ _Bacteriology helps


prevent 35mastitis_ _Strep agalactiae: Bug comeback 36_ _MRI cows show good potential 38_ _Edited by Jessica Buss_