Making sense of the beet price

Giles Cooper - Wilson Wraight

With British Sugar contracts due to be completed by growers next week and correspondence from NFU Sugar querying the British Sugar price illustrations there is some confusion to what it all means.  The table attached shows the income received for exactly the same load of sugar beet for 2019, 2020 and 2021/22.  For 2020 the price on the contract of £21.90 is comparable to the £22.50 being received this year by growers on the 2018 three-year contract, ie a reduction of £0.60 per adjusted tonne.  For 2021 and 2022 British Sugar have stated the price of £21.18 equates to £21.90 so it appears there will have to be some change to either the sugar content calculation or the sugar conversion factor.  The effect on clean beet tonnage in 2021 and 2022 also means the Transport Allowance rates could change if the same level of income is to be maintained.