Rising costs hit brassicas

Summer brassica producers are in a reflective mood following a late start to the campaign, as well as higher fuel and input costs. However, many producers hope that recent investments in their operations and the efficiencies gained from them will bolster the sector during the challenging climatic period.

Cornish-based Southern England Farms (SEF) is a leading summer brassica producer. According to SEF’s Alasdair MacLennan, warm weather in May allowed some crops to catch up.

“Pointed and green cabbage have already started, but sales are slow due to Spanish crop still being around,” he says. “Broccoli also looks like it will be early. Volumes will be similar to last year.”

Lincolnshire-based Marshalls began harvesting summer brassicas in the last week of May. “The warm weather in May meant we were on target for Savoy and green cabbage, as well as the cauliflower crop under polythene,” says managing director Nigel Clare.

“Organic broccoli was running a bit late but, with the warm weather, we should be on target to start around June 4.”

Marshalls is introducing new summer brassica varieties this year and, although Clare was reluctant to say too much about them as FPJ went to press, he predicts that one in particular will outperform the market.

Clare anticipates interesting times this season. “Acreage is down this year, so it will be interesting to see how supply fits in with demand,” he says.

According to Colin Williams of Thanet-based Invicta Produce, crops are running slightly later than normal, by some seven to 10 days. But much will depend on the forthcoming weeks. Williams says if the weather is warm, crops could catch up. “We anticipate starting the summer broccoli crop on June 10,” he says.

Broccoli is Invicta’s largest summer brassica line, and Williams says the company’s sales have risen an impressive 20 per cent year on year. “We are unique in that we are the only broccoli grower in our area,” he says.

The national trend is that broccoli sales are rising, and Williams attributes part of the vegetable’s success to improved varieties. “The older varieties are being superseded by newer, tighter ones that have less open crowns,” he explains. “They don’t mature quite as quickly, and can hold their optimum harvest conditions for a few days longer.”

Invicta is optimistic about the upcoming season, and anticipates a 20 per cent increase in sales. “Customers across all sectors are asking for our product and, with our facility only being two-and-a-half years old, we are able to pre-pack and floret many tonnes of broccoli and cauliflower,” says Williams.

With food miles and other environmental issues becoming increasingly important, Invicta’s aim is to make locally grown produce more available to the region’s population.

“One of our objectives is to offer high-quality vegetables from the South East to the consumers there,” Williams says. “Our business has a strong regional bias, and customers are supporting this growth.”

Stuart Cox, sales and marketing manager at seed breeder Sakata, agrees. “Local sourcing is an important marketing issue for the retailers, and this means opportunities for expansion in many regions,” he says.

No firm is immune from the challenges facing the sector. Invicta works closely with Trinity Growers, a cauliflower seed-breeding company that was formed in the early 1980s by five local growers. However, Williams, like other producers, predicts UK cauliflower production will decline this year.

“Retail customers see cauliflower as a basket filler, and don’t seem to want to pay the money that is needed to cover the cost of production,” he says. “Over the past few years, prices have been low and at or close to break-even point, or even lower than the cost of production.”

Unless there is a change in retail policy, Williams forecasts a “huge decline” in cauliflower volumes. “Certainly, quantities will be lower this season and will continue falling unless there is the recognition that growers need to be paid more,” he warns.

However, other producers acknowledge that a smaller crop could result in gains in other ways. “The reduction year on year gives me optimism that this year we could see better returns for cauliflower,” Clare tells FPJ. “This is greatly needed, after so many years of deflation in the cauliflower sector.”

Both Williams and Clare agree that rising raw material costs and distribution costs will impact on returns. Williams points out that fertiliser costs have risen from £150 per tonne last year to £320-330 per tonne, and yet further hikes could be in the offing.

Other costs are also mounting up. “Fuel costs have risen 20-25 per cent, and labour is also under pressure as the exchange rate of the pound against the zloty and euro has deflated hugely,” Williams says. “This means eastern European labour is drifting back, as workers are getting less than what they used to.”

Clare agrees that farming and distribution costs have risen by “abnormal amounts”, and this is seriously affecting the whole farming sector. Rising fertiliser, potash and nitrogen costs are also piling significant pressure on marketers.

Like other producers, Clare says retail prices will have to reflect these costs over a period of time. “These are difficult times for our industry, with so many rises in growing and distribution costs,” he tells FPJ.

In order to reduce costs and improve yields, Marshalls is increasing its concentration on field-rig packing. “We strongly believe that with our ‘in-house’ rig development we can lead in this sector, and try to offset some of the abnormal costs that are finding their way into our industry at present,” Clare explains.

“It is important to note that these abnormal price increases are here to stay for a long period of time, so we are concentrating on trying to be smarter and quicker to market with innovation, to help offset a percentage of these costs.”

In addition, Marshalls’ Spanish subsidiary, Agromark, which supplies brassicas during the November to June period, has moved into a state-of-the-art facility.

“We are spearheading our innovation within Agromark on field-rig packing to be in line with Marshalls,” Clare says. “The firm now has nine self-propelled rigs that allow us to encapsulate freshness at point of harvest, reduce costs and add to shelf life.”

IMA Cooling has recently worked with SEF on its brassica facility in Hayle, five miles north of Penzance. According to managing director John Dye, the project began with the supply and installation of more than 5,000sqm of fireproof insulated panels with white foodsafe internal finish.

“We started the installation of these panels last autumn and, by November, we had commenced the installation of our specialist high-humidity rapid-cooling plant in SEF’s new intake store,” he tells FPJ.

The intake store was completed in quick time to allow use for the busy Christmas period, and the remainder of the facility was completed in March. This consisted of temperature-controlled preparation and packing areas and a despatch store.

A Pendred ultrasonic fogging and rehydration system operates within the intake area, in conjunction with specially designed floor-standing coolers. The coolers have ultra-wide fin spacing for frost-free operation at high humidity, and temperatures as low as 2ºC. High-powered two-speed fans deliver large quantities of moist, cold air to the room, to be forced through the pallets of warm produce until the required temperature is reached.

SEF has also invested in a smaller ultrasonic fogging system within its despatch store, that ensures that produce remains in the best possible environment right up until it leaves the facility.

In addition to the insulated panelling and cooling plant, IMA delivered and installed rapid-action insulated doors to all areas of the facility, ensuring excellent temperature control and minimising heat loss.

“This plant has a cooling capacity of some 400kW, and is capable of handling more than 600 pallets per day,” Dye says.

IMA’s high-humidity cooling system gets to work rehydrating and cooling pallets of cauliflower and broccoli - which during the summer can arrive from the field at temperatures of up to 25ºC - in rapid time, to ensure superb quality and extended shelf life for the consumer.

Furthermore, SEF has invested in the latest Bitzer compressors and Danfoss electronic expansion valves. Together, these offer greatly reduced energy costs, and allow SEF to achieve a low carbon footprint from the facility.

According to Dye, the benefits of these features are significant. “The combined effect of the well-insulated complex with rapid action doors, energy-efficient cooling systems and ultrasonic fogging and rehydration equipment will allow SEF to competitively supply its customers with a quality product that will taste good and have the best possible shelf life,” he says.

IMA says it has installed many similar facilities for companies across the UK. “We are constantly developing new ideas to ensure our clients’ customers are always able to provide the best possible results,” Dye says.

According to Dye, brassicas need to be kept in the highest possible humidity conditions, and be cooled as quickly as possible after harvest. “While some products can be immersed in water, this is not desirable for the overall operation to remain as clean and efficient as possible, and so therefore high-humidity, rapid chilling is the best way to handle this type of produce,” he explains.

Armed with state-of-the-art technology, summer brassica producers must surely be hoping for the best possible conditions to offset rising costs.

BGA CHAIRMAN MULLS OVER CHALLENGES

The main challenges facing the brassica industry are mounting steadily, says Phillip Effingham, chairman of the Brassica Growers Association (BGA).

We anticipate that growing costs will increase by 15-20 per cent this year, with steep rises in land rents, fertilisers, fuel, seed and agrochemicals.

Over the past 10 years, we have seen a 32 per cent drop in the area of UK brassicas. Cauliflower has come off worst, with the figure at nearer 40 per cent.

The value that the marketplace puts on a cauliflower has steadily eroded over the past few years, and it has become increasingly difficult for the grower to make a margin. Consequently, we have seen an exodus of good cauliflower growers into other enterprises.

In addition, the coming months are looking increasingly difficult for pesticide issues, with impending legislation which could seriously damage the economics of UK brassica production. The BGA will vigorously defend its position, and highlight to the legislators the damaging effects this will have.

In the research and development sector, government funding continues to disappear, which is having a major effect on the speed of development across fresh produce. The R&D group will have its work cut out to ensure our needs are prioritised, and that available funding is maximised and spent efficiently.

Recent cauliflower protests have sought to highlight the plight of UK cauliflower production, and we have seen some good press coverage culminating in Antony Worrall Thompson reading the last rites over the death of the British cauliflower.

The National Farmers’ Union (NFU) in particular has done some good work in raising the media profile. Will this do any good? I believe it can help, but the only real answer to this is returning to a balanced demand and supply position. Cauliflower is an extremely volatile product, and is sensitive to temperature change. Too often, we find our position as distressed sellers, and the price suffers accordingly.

We have to find ways of ensuring market volumes are met with the minimum amount of excess, but all too often programme production areas are exaggerated to maintain adequate cover. This was not a problem while we had a viable freezing industry to soak up the excess, but sadly this has been lost to eastern Europe on price.

Since becoming BGA chairman, it has been quite an active period, both with ongoing research activity and getting the new promotional activity initiated. We have had to contend with political issues such as the Levy Board Review, and increasing assaults on our pesticide armoury.

The chairman’s role is to guide the BGA board in ensuring the association’s visions and values are realised, and to make sure we work within our resources to give best value for our membership, currently standing around 80. This is made up of growers and suppliers together with other interested parties, for example seed companies. We have an excellent part-time administrator, Jane Dyas, whose services are supplied through the Processed Vegetable Growers’ Association.

The objectives of the BGA are threefold. First, to ensure the R&D needs of the brassica industry are fully maintained in a sustainable and prioritised format. We have a fantastic R&D committee that interfaces with the various research and funding bodies in a well co-ordinated format. Committee members are made up of growers and suppliers, together with co-opted interests, and they take a very professional approach and work on a voluntary basis.

Our second objective is that of promoting brassica to the benefit of the industry, through engagement with the media and providing good new stories to supplement specific information regarding the virtues of brassica consumption.

The current board is very keen to put more resources into this area and, earlier this year, a promotions working group was formed with a view to getting a major campaign activated.

Finally, in representing the brassica industry, we ensure that our interests are upheld and protected in the current environment of change, both from a legal compliance perspective and with an increasingly curious media.

I feel that with the advent of the oncoming challenges, the role of the BGA will become increasingly valuable to our membership. There is a good regional representation in both the BGA board and its sub-groups. We will work hard to continue representing the interests of the whole industry, and ensure our voice is heard and respected.

RAISING CONSUMER AWARENESS

The Brassica Growers Association (BGA) board is confident “a lot more” can be done to raise the profile of brassicas among consumers.

“Although we have to accept that sales slip during the warmer periods in favour of salads, we have to look hard at recipe solutions that use brassicas in salads,” says Phillip Effingham, BGA chairman. “Broccoslaw, for instance, is a rising product in the US, using grated broccoli as an ingredient.”

Consumption could also be increased through imaginative and creative food solutions. “The BGA board is very passionate about this, and we are keen to highlight brassicas in a manner that destroys their image as basic vegetables,” he adds. “The brassica handle is not easily understood among consumers. We have to change that.”

BREEDING SUCCESS

Elsom Seeds and Sakata have attracted favourable attention with some of their new brassica seeds. Doris Lee Butterworth finds out more.

Elsom Seeds has enjoyed success with its purple sprouting broccoli varieties, and is hoping to make further gains this year.

“Our Bordeaux F1 variety was the first hybrid that would flower in the same calendar year as it was planted, and in some ways it has revolutionised the crop in the UK,” claims John Constable, brassica, bulb onion and baby leaf manager for Elsom Seeds.

Constable adds that unexpectedly high demand, coupled with some seed production problems, have led to some temporary seed shortages. However, the firm is confident it has now turned a corner, and seed should be available more consistently in the future.

Elsom Seeds has also been busy working with Bejo to produce the new variety BE2778. “This variety is very similar to Bordeaux, and has been commercially available this year in limited quantities,” Constable explains. “We are confident it will become as popular as Bordeaux has been in due course.”

Another variety, which will flower a few days later than Bordeaux, has been coded BE2783 and has been produced for its extra plant vigour and height.

In terms of other varieties, Constable says the company’s late hybrid Claret remains very popular, while the range of open pollinated ‘red’ varieties such as Red Spear, Arrow and Head, which were bred by Warwick HRI, are also widely used.

The South, the West Midlands and Lincolnshire are England’s largest producers of purple sprouting broccoli. “Demand has increased since Bordeaux was introduced, and we believe that demand will further increase as more consistent availability and quality is achieved,” Constable predicts. “We are breeding to try to help growers achieve that. We are confident that with attractive colour, sweet taste and healthy properties, purple sprouting broccoli will be increasingly popular in the future.”

Meanwhile, Sakata has high hopes for its broccoli variety Naxos F1. “This new summer broccoli will compete well in the sometimes difficult July-September harvest period,” says Stuart Cox, Sakata’s sales and marketing manager. “This year will see the first commercial release, and interest from growers has been very strong following encouraging performances in small-scale trials last year.”

The key features of Naxos include fine beads, high head position for ease of harvest, attractive, dark green colour and heat tolerance.

Sakata has also seen “excellent growth” for Aquiles F1. This early broccoli variety combines reliable plant performance in propagation, which is critical for this slot, together with compact, deep domed heads, Cox says.

Early plantings under cover are progressing well, and this should mean first harvesting of Aquiles from May 20-25.

Cox says low input systems are increasingly important, not just for environmental and food-safety reasons, but also simply as a method of reducing production costs.

“With increasing costs in particular for fertiliser, growers are considering varieties that can produce economical yields and quality with reduced artificial fertilisers applied,” Cox says. “Certainly, more growers have enquired which varieties are suitable for reduced nitrogen application this season and, from Sakata, broccoli Parthenon F1 is an ideal candidate.”

In terms of other brassicas, cabbage Sennen F1 is a new Sakata introduction that fills what can be a difficult harvest period from mid-April to late May. Sennen F1 is transplanted in the field from late September through to mid-October, depending on the region. According to Cox, the overall appearance and excellent eating quality are “remarkable”, considering the growing period Sennen endures.

“Sennen is naturally vigorous and extremely bolt tolerant, and these are the key reasons why Sennen F1 is able to cope through this difficult growing period,” Cox explains. Seeds are available for the coming summer sowings, although Sakata warns volumes may be limited.

Sakata recommends that growers and other interested parties visit the company’s trials at Sutterton in Lincolnshire by arrangement between June and November, to preview its new material in the field.

Meanwhile, Constable says summer brassica production has dropped dramatically in the last 10 years, as growers try to avoid surplus summer volumes. However, not all brassicas are following the same trend. “There have been increases in some baby leaf brassicas used in salad packs, while Chinese leaf has held its own,” Constable tells FPJ.

Elsom Seeds’ breeding programmes cover the entire brassica range, and advances are being made on several fronts. “Our major challenges are to introduce varieties that can better cope with the vagaries of the UK summer climate - consistent performance is what all producers want from the varieties they choose to grow,” Constable explains. “We are involved in a project to better predict the flowering time of purple sprouting broccoli and other flowering brassicas, and we hope this will help growers to better programme for their autumn/winter crops.”

Constable says climate change will affect UK production. However, he adds that such change is usually cyclical, and it is still unclear as to where we are in the current cycle. “Are we going to continue experiencing milder winters, for example?” he asks. “If so, that will start to change the crops that can be grown all over the UK - however, one hard winter could change all that. Many growers have had to cope with the soil problems caused by last summer’s heavy rain.”