Teams at five of HGCA’s arable Monitor Farms across England are trying out new marketing strategies in a friendly, virtual competition to make the most profit by the end of 2017.

At the Hereford, Cardiff, Leamington Spa, Bath and Crediton Monitor Farms, the teams will be devising real-time, theoretical marketing plans to sell the host Monitor Farm’s grain with a choice of marketing tools. The groups can use strategies that range from spot or forward fixed price selling; target prices using an instruction to sell at £X/t before the next meeting; and minimum price contracts linked to options.

Jack Watts, AHDB/HGCA Lead Market Analyst, said: “The aim is to help farmers explore new marketing strategies in the safety of a paper exercise. It’s safe to think outside the box, but gives real marketing experience as it’s done under real market conditions. It also helps to give continuity between meetings as the groups stay together for the duration of the Monitor Farm programme.”

At the Hereford Monitor Farm, the strategies employed by the groups of farmers to sell the remaining 2014 harvest were wide ranging, with many deciding on fixed price sales to manage the risk of falling prices. For the 2015 harvest, however, the majority of the groups chose to set minimum price contracts, in order to take advantage of any rises in the market.

Mark Wood is the farm manager of JPF Clay and host of the HGCA’s Hereford Monitor Farm. At the last meeting he still had 1,200 tonnes of feed wheat from the 2014 harvest to sell, and was predicting a harvest 2015 crop of around 2,500 tonnes.

At future Monitor Farm meetings, the teams will review their strategies in a friendly but competitive environment to see who can make the most profit over the course of the marketing year.

The programmes for the Monitor Farm meetings are set by the farmers themselves, discussing issues pertinent to the local area and the businesses involved.

For more information on HGCA’s arable Monitor Farms, visit hgca.com/monitorfarms.