April 20, 2007

UK's grain industry inadequate - report

The inefficiency in the UK cereals supply chain is costing the industry almost 1 million GBP (1.47 million euros) a week and cereal manufacturers are partly to blame, according to a new report from the Centaur Grain group.

In its 'Against the Grain' report, Centaur blames the 40 million GBP (59.1 million euros) wastage per year on rejected loads, unnecessary waiting times, inefficient storage and inconsistent haulage operations but claims it is not just the growers who need to address these issues.

Centaur, a grain marketing business which collaborated with the English Farming & Food Partnerships (EFFP) on this research, said more needs to be done by all sections of the industry to prevent waste on this large scale.

In order to alleviate supply chain loss, Centaur suggests concentrating on a number of areas and urges farmers to identify ways of adding value to crops and differentiating manufacturers' brands, working in tune with consumer trends.

In addition, the system should be simplified with processors and manufacturers consolidating their supply base and implementing a best practice supply chain.