Innovate and Thrive  

Innovation is one of the five key themes of HGCA’s Supply Chain Partnership, and in the current economic climate it seems even more relevant than ever. Companies that are innovative and flexible in their approach to business – no matter where they are in the supply chain – are better able to survive and even thrive when the going gets tough.

Our latest newsletter features stories on two such companies: Paterson Arran and Phoenix Fuels. Read on to find out more….

A Scottish biscuit manufacturer has been named as the first company to be part of HGCA’s Supply Chain Partnership Innovation Showcase. Paterson Arran has replaced the palm oil in a range of its cookies and biscuits with rapeseed oil from UK farms. This innovation has proved to be hugely successful, and allowed the company to benefit from current consumer trends towards healthier eating.

Managing Director Alan Hardie says: "We could see the way that healthy eating trends were going when we launched this range of products in 2007. This year the Food Standards Agency is planning a major campaign encouraging consumers to reduce their intake of saturated fats. So our timing could not have been better.

"Our results have already been outstanding. We are using 250% more rapeseed oil than originally anticipated, and having this product range available has led to a number of new retail listings. The conversion process from palm to rapeseed oil is still ongoing, and we are developing new products all the time." 

Emma Finn, Arable Business Supply Chain Manager at HGCA, said: We have launched the Innovation Showcase to highlight examples of good practice in this area. Paterson Arran picked up on an important consumer trend, and they were able to reduce the saturated fat in their products by up to 80% using rapeseed oil. They are reaping the benefits now in terms of sales, and have also set a trend in this sector. By using rapeseed oil they are also benefitting British farmers."

Another company benefitting from innovation and flexibility is biofuels company Phoenix Fuels. Phoenix was founded from within the Nottinghamshire fresh produce consortium Sherwood Produce. The group were looking for something to differentiate themselves in the fiercely competitive fresh produce market place. Green consumerism is one of the ‘mega-trends’ driving change in the market place, even in difficult times. Many retailers are looking for products with clear environmental credentials.

After two years of research Sherwood decided to go into biodiesel production using oilseed rape from members' farms. The initial idea was to use the biodiesel on farm and in their distribution fleet, with the possibility of selling it on the open market. Today the company has changed its plans to adapt to market conditions, but has stayed true to its original vision of a 'closed loop' system and created a unique, cyclical model of sustainability.

Sherwood Produce has converted many of its vehicles to run on Pure Plant Oil (PPO). Phoenix is also set up for high-capacity biodiesel production, using its state-of-art in-line transesterification plant. It is also producing solid fuel 'logs' made from the co-product of its crushed rapeseed, and marketed through its subsidiary Green Dragon Fuel, and is also selling this as animal feed.(It is the only company to have CMI accreditation for this). In the future it also plans to sell its rapeseed oil for human consumption as a food oil.

You can hear more about the Phoenix Fuels story by listening to the podcast on HGCA’s Supply Chain Partnership website here.

While Fantasy Football has become very popular with many people over the past few years, in some parts of Yorkshire Fantasy Farming is all the rage. Started by Pat Thornton of The Arable Group, Fantasy Farming is a fun way to bring to life many of the issues facing arable farmers in their every day businesses.

Groups of farmers compete to grow the best crop using trial plots, while also trading a 'fantasy' tonne of wheat. Each year the farmers grow for different markets, and this year they will be growing for export markets through Gleadell Agriculture. In future newsletters we will be following the progress of the fantasy farmers, but if you would like to know more now contact Pat using this email patrick.thornton@thearablegroup.com or phone him on 01427 728866.

For more information on HGCA’s Supply Chain Partnership visit www.hgca.com/supplychain.