Low yields leave sugar beet growers near breakeven

Reduced sugar beet yields and no neonicotinoid seed treatment in England for the coming year has left the sector in a state of uncertainty.

UK sugar beet yields dropped to a clean weight of 73.2t/ha for the 2024-25 campaign, down by 6.2t/ha on the previous year.

Kit Papworth, chairman of NFU Sugar, said that following a shorter campaign this year, sugar content had improved, but yields were not quite as high as hoped due to adverse weather in the Midlands around establishment.

See also: Sugar markets start to firm as 2024-25 beet campaign ends

“We have got quite a low average yield. The potential for this crop is somewhere around 150t/ha to 200t/ha.

“There are growers doing 120t/ha consistently, but if the national five-year average is 71.98t/ha, we have some work to do.”

British Sugar, which is the sole processor of the UK crop and produces up to 1.2m tonnes each year, has confirmed that roughly 95,000ha is contracted to be grown for the 2025-26 campaign, an 8% fall on the year.

Almost 70% of the total contract tonnage entitlement by growers will be paid at a fixed price of £33/t.

Meanwhile, 28% will be paid at £30.70/t plus a market linked bonus and 4% of the total tonnage will be paid based on a futures price.

Mr Papworth said: “Growers have a choice of how they could contract their tonnage and most have chosen to go for £33/t, which is very much around the cost of production.

“Unless you happen to be very efficient or your yield is considerably higher than that average, you are probably only breaking even on that sugar beet production.”

Lincolnshire grower Andrew Ward added that variable sugar content was also becoming more of a concern for some.

He said higher sugar content had offered a way for farmers to get adjusted tonnages up, however the varieties now available to grow are typically lower sugar.

Annual negotiations between NFU Sugar and British Sugar are due to commence towards the end of April.