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Tavascarow
Joined: 06 Aug 2006 Posts: 8407 Location: South Cornwall
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Rob R
Joined: 28 Oct 2004 Posts: 31902 Location: York
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Tavascarow
Joined: 06 Aug 2006 Posts: 8407 Location: South Cornwall
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Rob R
Joined: 28 Oct 2004 Posts: 31902 Location: York
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dpack
Joined: 02 Jul 2005 Posts: 46233 Location: yes
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Rob R
Joined: 28 Oct 2004 Posts: 31902 Location: York
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Tavascarow
Joined: 06 Aug 2006 Posts: 8407 Location: South Cornwall
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Ty Gwyn
Joined: 22 Sep 2010 Posts: 4613 Location: Lampeter
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Rob R
Joined: 28 Oct 2004 Posts: 31902 Location: York
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Posted: Thu May 26, 16 10:28 pm Post subject: |
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Tavascarow wrote: |
But the profit margin on that chicken is pennies.
When Tesco where offering two birds for a fiver there was 1p profit for the supplier per bird (according to HFW).
Eating less will impact those low profit high output producers more than smaller, less intensive, low input farmers like yourself.
Because they rely on vulume not quality to make their living.
Encouraging eating more will just encourage more producers to intensify.
Meaning there will be more antibiotic meat on the market not less. |
No, you've got it so wrong. Even if your profit is pennies, sell enough and you can keep paying the bills and riding the low points. If you rely upon selling an expensive product (lets face it, noone who ever advocates the eat less meat message ever produces the figures to back it up, otherwise we'd have a blueprint to work to) you're much more vulnerable to blip in the economy than a high volume, high turnover operation.
Eating less favours a high volume retailer such as Tesco more than it benefits me - if you're eating a small amount of meat every week you're better off in Tesco, because not only will they sell you a single slice of ham, but they also have all the other non-meat products that you'd replace it with (which are also much higher margin than any meat).
I have never said we need to encourage people to eat more of the stuff, more organic and grassfed, certainly, but overall the same amount would be ample. If you specify eating more but sustainably produced then you will always be limited by what can be produced. If demand exceeds supply then the price will rise, but if it turns out that sustainable ag can produce enough then we don't need to cut down. The important thing is the interim transition period - if the sustainable producer can't survive in that period then the only thing left to eat less of will be the antibiotic chicken.
As you said above, economics decides how much people can afford to eat, we don't need to encourage rich people to spend even less by buying less. At the same time, encouraging people to eat more [grassfed] beef can only help reduce the amount of meat [chicken] being consumed because it is generally more expensive.
I am one of those producers who should be benefitting from this 'eat less' scenario you describe, but I'm telling you it's wrong because the one group of people who keep my business going on a day to day basis are following the paleo-esque diets - they are eating more good quality meat, not less.
Low input is not no input, I met a farmer a few weeks ago who could control his chicken house from his mobile phone and had started a second business to fill his time. Whereas I am tied to checking and moving my cows on a daily basis, retailing and marketing, etc., etc., it all takes time. His position looked like a very attractive prospect to me and if I was more sensible I would have invested in an intensive poultry unit and just do the grassfed beef as a hobby. |
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Tavascarow
Joined: 06 Aug 2006 Posts: 8407 Location: South Cornwall
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Rob R
Joined: 28 Oct 2004 Posts: 31902 Location: York
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Posted: Thu May 26, 16 11:55 pm Post subject: |
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Tavascarow wrote: |
Rob R wrote: |
No, you've got it so wrong. Even if your profit is pennies, sell enough and you can keep paying the bills and riding the low points. |
Fluctuations yes.
But if the population starts eating less meat consistently it will impact the high volume low profit producer before you.
If demand drops production will have to drop as well.
You can keep a bullock on grass or silage for a week or two if there's a drop in price & it wont cost you much.
But a broiler producer can't.
Broiler & intensive pork systems runs like clockwork.
There is very little wriggle room.
So if supply exceeds demand over an extended period their only option is to reduce production. |
How does that differ whether you are a broiler or beef producer? A bullock for an extra couple of weeks will cost another �16 [all figures are approximate for illustrative purposes], unless you sell twice as many after a couple of weeks then you've got an extra one hanging around, taking up an extra space over winter. Assuming you have the spare space and silage for it that's another �184 in building space, so it's cost you an extra �200 up front, some of which you might get back if you expand, but you can't do that if your market is contracting. If you're a �1000 down on the sale of the animal that's a total of �1200 less money in the bank. If you make �10k for your efforts usually that's 12% of your income gone.
Like I keep saying, my customers, on the whole, are eating more meat - without them I wouldn't even be here to benefit from this theoretical future situation. Thankfully they are bucking the trend because without them we'd be history.
The people who are most likely to respond to this eat less message are people like you & I, already making the more ethical choices, not the McDonalds regular who, even if they do cut down, are paying the same price for the veggie burger as the Big Mac. As such it is, rather than helping, disproportionately harming businesses like mine, which can only make it easier for the intensive guys to prosper. |
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Rob R
Joined: 28 Oct 2004 Posts: 31902 Location: York
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Tavascarow
Joined: 06 Aug 2006 Posts: 8407 Location: South Cornwall
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Rob R
Joined: 28 Oct 2004 Posts: 31902 Location: York
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Tavascarow
Joined: 06 Aug 2006 Posts: 8407 Location: South Cornwall
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