Smaller crops impact United Oilseeds, but signs of area recovery

Published 2020년 12월 10일

Tridge summary

United Oilseeds' full year financial results for the year ended June 30th, 2020, show a decrease in pre-tax profit and revenue due to a smaller oilseed rape crop. The company, which traded nearly 400,000 tonnes of OSR and other break crops, has seen a record decline in OSR plantings. Despite these challenges, the company expects the decline in the UK crop area to have reached its lowest point and predicts a rise in plantings in the future. The small UK 2020 crop size and low average yield are expected to result in the UK needing to import up to 500,000 tonnes of OSR in 2021, which may keep OSR prices firm. The company also expressed concerns about the import of seed treated with neonicotinoids, a chemical not accessible to UK growers.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

A smaller oilseed rape crop has affected United Oilseeds’ latest full year figures, but the business believes the decline in the UK crop area has now bottomed out. The co-operative has reported a pre-tax profit of £1.17 million on revenues of £142.5m in the year ended June 30th 2020, compared to £1.45m and £194m in the previous 12 months. Net worth was unchanged at just under £12m. The company will be returning a profit share to its members. “This is a truly excellent set of results, achieved amidst particularly tough agronomic conditions, a volatile trading environment and a record decline in OSR plantings,” notes UO managing director Chris Baldwin. “The 2019 UK rapeseed crop was the smallest area harvested since 2003 – during establishment in autumn 2018, over 30% of the national crop experienced severe damage or failure due to cabbage stem flea beetle. This resulted in an average yield of 3.3 tonnes/ha – below the five-year average yield of 3.5 t/ha. “Despite the 12 % ...

Source: AgriTrade