Agricultural contracting prices for 2021-22 published

Agricultural contractors have become an integral and vital part of UK agriculture
Agricultural contractors have become an integral and vital part of UK agriculture

A new survey of contracting prices for 2021-22 has been published, giving a UK average to help contractors and farmers benchmark individual costings for an operation.

The guide shows that overall, there has been a slight upward trend in prices from 2020, reflecting the increasing cost of staff and inputs.

However, prices may still vary significantly with region, soil type, customer size and machinery, the National Association of Agricultural Contractors (NAAC) said.

Farmers have been told by the body to expect contracting prices to be quoted higher or lower than the guide.

Matt Redman, NAAC chairman said: "Many contractors report they have difficulty increasing their prices due to local competition.

"However, the cost of machinery has gone up 40% in the last ten years, with machinery prices rising, some up to 8% in the last year.

"If farmers are demanding a reliable, efficient, safe and innovative service they must expect to pay a sustainable rate."

The guide contains average prices surveyed from NAAC members – however the actual price may vary considerably between regions, soil types, distance travelled and size of contract undertaken.

Contractors may also have individual arrangements with customers regarding diesel, for example separate fuel surcharge and fuel used on-farm.

The prices in the guide do not reflect this market trend and may make a significant difference to contracting charges.

Prices in the guide are based on red diesel at 50p per litre.