Glanbia to discourage grain deliveries to local depots
Glanbia Ireland has announced a new "delivered-in pricing model" to apply from harvest 2018, with a transport payment for farmers to bring grain to dryers.
While Glanbia currently takes deliveries of grain from tillage farmers at 40 locations, the company will encourage farmers to use those 16 with drying facilities from next year.
Grain prices quoted next year will include a standard transport allowance of €3/t, with higher allowances paid for growers located more than 15km from the relevant drying locations, the company said in a statement this Thursday. The allowance will be based on distance bands from the drying location.
Intermediate local intake points will remain available, but crops delivered to these intake points will not qualify for a transport allowance. “In partnership with our growers, we plan to maximise the proportion of the future harvest that is delivered to drying rather than intermediate locations,” said Glanbia Ireland chair Henry Corbally. “This will remove inefficiencies from the system and enhance the quality of our products, which should help us maximise market share for native grain.”
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While Glanbia currently takes deliveries of grain from tillage farmers at 40 locations, the company will encourage farmers to use those 16 with drying facilities from next year.
Grain prices quoted next year will include a standard transport allowance of €3/t, with higher allowances paid for growers located more than 15km from the relevant drying locations, the company said in a statement this Thursday. The allowance will be based on distance bands from the drying location.
Intermediate local intake points will remain available, but crops delivered to these intake points will not qualify for a transport allowance. “In partnership with our growers, we plan to maximise the proportion of the future harvest that is delivered to drying rather than intermediate locations,” said Glanbia Ireland chair Henry Corbally. “This will remove inefficiencies from the system and enhance the quality of our products, which should help us maximise market share for native grain.”
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