Details of Glanbia’s grain transport allowance announced

Glanbia has announced details of its transport allowance for 2018. Following the announcement of the company’s harvest grain prices in October, Glanbia stated that all 2018 prices quoted will include a standard transport allowance of €3/t.

A higher allowance will be paid to growers located greater than 15km away from Glanbia’s drying locations.

All prices quoted in text messages from Glanbia in 2018 will include the €3/t premium payment for delivery.

This allowance is to encourage farmers to deliver their produce to a grain intake with drying facilities. At present, Glanbia operates 40 grain intake points; 16 of these intake have drying facilities and 24 are intermediate intake points.

Full details

Glanbia’s base price for 2018 will be centered on delivery from a distance of up to 15km. This will include a premium payment of €3/t.

Glanbia stated that the intermediate intake points will remain available, but crops delivered to these intake points will not qualify for a transport allowance. Grain delivered to a drying location which does not dry that particular grain product will not qualify for the transport allowance.

Growers may only supply intermediate intake locations with the same volume of barley as they did in 2017. Intermediate intake points will not accept barley over this quantity from individual growers.

Growers will now organise the delivery of grain to the relevant Glanbia intake themselves, as a premium payment for delivery is now included in the quoted green grain price.

Example using 2017 pricing

In 2017, Glanbia’s base price for spring barley was €133/t – delivered to any location or collected ex-farm. The table below describes the distance bands and the premium payment that will be added to the base price.

Using 2017 prices as an example, under the new transport and pricing arrangements, the prices for 2018 would be as follows:

  • Grain delivered to intermediate locations – €133/t;
  • Grain delivered to drying locations from distances up to 15km – €136/t;
  • Grain delivered to drying locations from distances > 15km – €136/t plus relevant differential in column four (2018 grain price) of above table. For example, grain delivered to a drying location from a distance of between 30km and 45km away would receive a price of €138.50;
  • Any relevant transport allowances are now included in the price;
  • Growers will now deal directly with the hauliers themselves and Glanbia will no longer organise collection or transport of grain.

Drying locations

The provisional drying locations for different products in 2018 are outlined below. However, these are subject to change and will be communicated to growers in advance of the harvest.

Feed barley:

  • Portlaoise Mill;
  • Clonroche Mill;
  • Steacy’s (Inch);
  • Kilberry;
  • Clonag (Derrygrath);
  • D. Walsh;
  • TB Warehousing;
  • Ketripack (treated grain).

Contracted Cassia barley:

  • Portlaoise Mill;
  • Harris Transport (Athy).

Malting barley:

  • D. Walsh;
  • Daltons (Chancellor’s Mills);
  • Dairygold (Mogelly).

Feed wheat:

  • Portlaoise Mill;
  • Clonroche Mill;
  • Steacys (Inch);
  • Kelly’s (Monasterevin);
  • Kilberry;
  • Clonag (Derrygrath);
  • D. Walsh;
  • TB Warehousing;
  • Harris Transport (Athy).

Feed oats:

  • Clonroche Mill;
  • TB Warehousing.

Food grade oats:

  • Ballytore.

Oilseed rape:

  • Steacy’s (Inch).

Beans:

  • Graiguecullen;
  • Ketripack (treated grain).

Seed grain:

  • Graiguecullen.