The Vivergo plant, based at Saltend in Hull, is set to become the largest buyer of grain in the whole country and Frontier Agriculture, the firm which will source the plant's grain, promises great benefits for those who supply it.

The £200m site, a joint venture between BP, British Sugar and DuPont, will make biofuels for use in transport fuels and will require a year round supply of wheat.

The market is set for growth as the UK moves towards its long-term target of using 10 per cent renewable fuel by 2020. Currently it is only achieving around 3.5 per cent and bosses at the Vivergo plant, which covers 13 hectares, believe it can supply a significant proportion of the UK's bioethanol needs.

Andrew Flux, grain procurement manager, told the Yorkshire Post he wanted to source all of the grain from within a 70-80 mile radius of the plant, which is expected to begin producing biofuels in spring next year. Around 70 jobs have been created as a result.

Farmers able to commit to supplying 120 tonnes of wheat will be able to join the firm's "Humber Gold Club", allowing them to benefit from attractive terms of supply such as higher moisture contents and flexible collection routes.

Frontier launched a similar scheme in 2007 near Manchester to secure 750,000 tonnes of wheat for the Cargill starch plant near Manchester, a scheme said to be a "huge success". The Saltend plant will also produce protein-rich animal feed for the UK's livestock market, aiming to become the biggest single supplier in the UK.