2017 Beet Price July 15, 2016 12:00 am It has been announced that the minimum sugar beet price for the 2017 growing year will be £22 per tonne. But under a new arrangement agreed between British Sugar (BS) and the NFU bonuses linked to the EU sugar price will be paid in excess of this. There is also the option to contract for a three-year period rather than just the usual one year. The market bonus will trigger if the EU sugar price (averaged over the course of a marketing year) is above €475 per tonne. it is capped at a price of €700 per tonne. Under the single-year contract growers receive 10% of the extra revenue above €475; on the three-year deal the payment is 25%. The table below sets out the possible range of prices. For context, the EU sugar price this spring was around €425 per tonne – although world markets have risen since. Sugar Beet Prices – 2017 Crop – £ per tonne One Year Contract Three Year Contract Bonus (10%)* Beet Price Bonus (25%)* Beet Price €475 £0.00 £22.00 £0.00 £22.00 €500 £0.33 £22.33 £0.83 £22.83 €550 £1.00 £23.00 £2.49 £24.49 €600 £1.66 £23.66 £4.15 £26.15 €650 £2.32 £24.32 £5.81 £27.81 €700 (max) £2.99 £24.94 £7.47 £29.47 * converted at €1 = £0.85 Growers can choose how much of their Contract Tonnage Entitlement (CTE) they want to put on the 1-year or 3-year contracts. The total amount of 3-year contract will be capped at 30% of the national CTE though. Other measures agreed include converting Industrial Contract into normal CTE, and increasing the maximum transport distance from 50 miles to 60 miles. Growers will receive contract offers at the end of July.
