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What we do - Why we are different - Benefits - Membership Costs


What we do
FarmConnect has 35 farmer members covering 36000 acres. We negotiate prices on behalf of our members for the following commodities:
 
- Agro chemicals
- Fertilisers
- Tractors and loaders
- Combines
- Cultivation equipment
- Spare parts
- Seed and seed cleaning
- Fuel

Why we are different
There are many buying groups trying to negotiate best prices for farmers. We have looked at the existing models and recognise their limitations.

Our approach is to look beyond volume as the key driver to price and understand where cost savings can be made throughout the supply chain. This encompasses packaging, formulation and logistics.

Our buying models are developed with Farmcare, the UK's largest arable farmer with over 35,000 ha's under their control. This means that all farmer members of FarmConnect buy on the same terms as Farmcare, irrespective of their size.

We recognise that forecasting is the key to lower prices for chemicals and fertilisers. We develop specific crop management strategies for our members drawn up in consultation with key farmers, agronomists and manufacturers. This simplifies crop management and ensures that production costs are kept low.  

Benefits
Low risk - unlike most buying groups we do not take title of goods. This reduces the financial risk to our members. Our role is to negotiate best prices and set up the relationship between the supplier and our farmer members.

Competitive input prices - our unique approach to pricing based on the production of accurate forecasts gives us consistently lower prices. By identifying where costs are incurred in the supply chain we work with both distributors and manufacturers to reduce cost. This can be achieved through out of season delivery and bigger drop sizes which gives clear savings in warehousing and distribution costs.  

Sustainability - the farm input supply chain must be simplified to reduce cost and allow a competitive and sustainable UK arable industry. We are working directly with manufacturers to achieve this.

Simplicity - we negotiate best prices for our members and set up the appropriate relationship between them and the supplier. This saves the farmer a considerable amount of time. We also produce detailed crop management strategies to facilitate forecasting and crop management decision making.  

Low membership fees - we avoid complex administrative procedures which allows us to keep memberships costs low.

Partnerships - we recognise that collaboration is the key to success. Our buying models are developed with Farmcare, the UK's largest arable farmer with over 35,000 ha's under their control. This means that all farmer members of FarmConnect buy on the same terms as Farmcare, irrespective of their size.

Innovation - our objective is to challenge existing relationships and find better ways of doing things. Membership of FarmConnect gives you direct access to a group of forward thinking farmers.  

Membership Costs
Annual membership fees are based on farm size as follows:
 
Farm Size - acres Price £ Comment
0-500 500.00 £500.00 is the minimum price
Additional acres between 501 and 1000 0.75/acre  
Additional acres between 1001-1500 0.50/acre  
Additional acres over 1500 0.25/acre  

Example 1
An 800 acre farm pays the following:
£500 for the first 500 acres plus 300 acres @ £0.75/acre = £725.00

Example 2
A 1700 acre farm pays the following:
£500 for the first 500 acres
Plus
500 acres @ £0.75/acre = £375.00
Plus
500 acres @ £0.50/acre = £250.00
Plus
200 acres @ £0.25/acre = £50.00
Total = £1175.00 per year.

All figures exclude VAT.

In addition to the annual membership charge a levy of 0.5% is charged on all purchases through the group.