ELS proves profitable for farmers PDF Print
A recent study conducted in the Gloucestershire area has shown that farmers can profit from the Entry Level Scheme with an average financial gain of nearly £22/hectare, equating to 73% of the £30/hectare payment.

The study was carried out by Peter Grey from our Gloucester office as part of his MSc at The Royal Agricultural College. He collected information from seven case study farms in the Gloucestershire area that were participating in the ELS, looking at the additional costs of being in the scheme.

Unsurprisingly farms had opted for management prescriptions that caused least change to their present farming system. The most popular options included: hedgerow management (one or both sides); ditch management; six metre buffer strips; and the four management plans (soil, nutrient, manure, crop protection). Few points had come from options that involved taking land completely out of production.

Generally financial gain was highest for livestock and dairy producers, largely a result of boundary features, such as hedgerows and ditches (these being the most profitable options) being more prevalent in these areas. Arable producers experienced a lower financial gain, as many options involved some loss of production, but these farms were still able to profit. Of course the recent rises in arable and milk prices will reduce profitability of the scheme where there is loss of production.
The scheme is now rewarding many farmers for carrying out simple yet effective environmental management (beyond cross compliance) that some have always carried out but which used to go uncompensated. ELS has the added benefit of ensuring these good environmental management practices are carried out every year and has increased farmers’ awareness of the environmental features present on their farm.

The potential profitability of the scheme shows that it is well worth being a part of it, particularly now the effects of modulation and regionalisation of the Single Payment Scheme will really start to bite. For those interested in joining this scheme, or the possibility of joining the Higher Level Scheme, please call Peter Grey at our Gloucester office on 01452 880008 for further information.

 

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