The Arable Group’s (TAG) 2005 biannual conference on Wednesday (February 9) at the Scotch Corner Hotel, dedicated to questioning the implications of the Mid Term Review changes for arable farmers, was attended by 170 delegates.
TAG conference 2005
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Matthew Currie, partner of Smiths Gore based in Dumfries, reminded arable producers at the conference that change is inevitable – progress is not.
For survival without the “brown envelope” Mr Currie urged producers to focus on a few simple benchmarks.
Look at costs as a percentage of output and measure net worth, both business and personal, regularly and understand where money goes.
“Survival outside the brown envelope means that one size doesn’t fit all,” said Mr Currie. “Remember ‘Rule 72’ it takes 18 years at 4 per cent, 9 years at 8 per cent and 6 years at 12 per cent when you invest principle and interest.
“Choose simple but effective benchmarks – and act upon them. Keep away from the reasons for failure,” he said.
Change was inevitable so producers should budget and review.
“Know your costs because it’s a commodity business and understand farm accounts. Acquire knowledge continually. Be ready to change quickly and enjoy.”
