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Increasing Harvest

28th June 1963, Page 97
28th June 1963
Page 97
Page 98
Page 97, 28th June 1963 — Increasing Harvest
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Which of the following most accurately describes the problem?

IN contrast with the transport industry, farming is wellsupplied with vital statistics as to its productive capacity and expanding trends. But in common with transport its diversity of interests and nation-wide disposition tend to belie the magnitude of the industry as a whole and correspondingly the overall demand on road transport. Indeed, with the exception of the coal industry, agriculture probably provides a greater tonnage to be moved annually than any other industry. And because of its very nature practically the whole of this agricultural traffic must be initially loaded into road vehicles for part, if not the whole, of the journey.

Moreover, whilst comprehensive statistics are available as to rising agricultural production, any assessment of the overall tonnage moved within the industry is more likely to be an underestimate rather than an overestimate because of the substantial amount of inter-farm movement and the relatively short intermediate journeys such as the sending of seed for dressi n g.

Even so, a short list of crop production is indicative of the sizeable tonnage which is ultimately moved—as the end product —from the farm. Comparison, too, between the figures for the last two available years, i.e., 1961/2 and 1962/3, shows the substantial rate of increase even on these already large tonnages. Thus, in 1961/2 the total crop production in respect of wheat, rye, barley, oats, mixed corn, potatoes and sugar beet was 21,750,000 tons. The corresponding figure for 1962/3 was approximately 23,836,000 tons, an increase of more than 2 m. tons or 9.59 per cent. The fact that this production was derived from more than 30 m. acres emphasizes the substantial demands that are made on both local and long-distance transport services before these huge tonnages can reach their final destination, either at food-manufacturing centres such as millers and maltsters or city markets.

The production of livestock products has also shown a remarkable increase in recent years, beef and veal accounting for 891,000 tons and mutton and lamb 268,000 tons for 1962/3. In addition to several other farm products which require collection, there is also an increasing tonnage of fertilizers, equipment and sundries delivered to the farms as part of the programme of increased efficiency.

FARMERS' OWN VEHICLES Admittedly some of the tonnage is moved in farmers' own vehicles. For 1962 there were 57,500 goods vehicles registered by farmers, 9,100 of which had an unladen weight of more than 3 tons. It was significant that 45,100 were fitted with petrol engines, although this may be more indicative of the average age of the vehicle rather than a deliberate policy in favour of this type of fuel. Many farmers also operate vehicles with either Cor B-carriers' licences, amounting in total to approximately 420,000 vehicles.

Despite this total fleet of around 100,000 vehicles, many of them are normally engaged on the immediate needs of the farmer locally and there remains a very, substantial amount of tonnage to be moved by the professional haulier. Moreover, whilst variable in quantity seasonally, on an annual basis it can be considered one of the most stable traffics in which a haulier can be engaged.

At the same time, however, farm haulage is one of the most difficult types of traffic for a newcomer w become acquainted with because he must acquire an intimate knowledge of agriculture if he is to understand, and indeed anticipate, the quicklychanging demands of the farmer, stemming largely, as they do, from fluctuations in weather conditions.

Briefly commenting on some of the transport requirements of farmers, they will initially require, in aggregate, around 1 m. tons of seed annually. Although some of this may have been kept by farmers for resowing, a substantial quantity will be supplied by corn merchants or, in the case of sugar beet, by the local factory. By its very nature seed tends to be required in small lots and therefore is particularly suitable for collection and delivery by road. A vast quantity of artificial fertilizers is now moved annually, involving transfer from the basic manufacturer to either depots or corn merchants—either by rail or road—for final delivery to the actual consumer, again invariably by road.

FARM MECHANIZATION

Another post-war development in the drive for more efficient farming has been the much greater use of farm mechanization, with its resulting demand for road transport, including special type vehicles, for the initial delivery of new equipment and its return to the local depot periodically for such maintenance as cannot be carried out on the site. There is a correspond:ng. demand for fuel delivery to these mechanized farms. .

Wheat, oats and barley represent the main grain crop of the U.K., and of the total of 23.8 m. tons mentioned as the crop production for 1962/63, wheat accounts for 3.6 m., barley 5.7 m. and oats 1-7 m. tons. Whilst the majority of wheat requires delivery to flour mills, barley is approximately in equal demand by the maltsters and provender millers. .

The annual tonnage of potatoes (6-6 m.) and sugar beet (5.8 m.) tends to be specialized trades and to some extent more localized, Whilst all agricultural products present their own seasonal problems as regards distribution, that of sugar beet is particularly difficult because of the relatively short season from approximately late September to mid January.

In a similar category is horticulture and, because of its perishable nature and the frequent needs to catch a particular market time, the problem of the haulier of this type of traffic is especially exacting.

Although, as already stated, successful agricultural haulage is dependent on a comprehensive knowledge of the industry, livestock, in particular, requires specialized knowledge by the haulier and it would be indeed foolhardy to attempt entry into this type of haulage without such knowledge. Similarly, although the sight of a standard platform vehicle loaded with milk churns was a common sight until recently, this traffic is also becoming more specialized. Although, as with other forms of bulk delivery, milk conveyance in tankers has not developed as rapidly in post-war years as might have been expected, the trend has been established and is likely to increase as the problem of initial capital outlay is resolved.

As with most other aspects of transport the likely impact of the implementations of the Beeching Plan on agricultural haulage needs consideration. Commenting on this plan the National Farmers Union in general terms recognized the need for a

reshaping of the railway system. The intending policy of fullload freight-train traffic and a reduction in the number of railheads inevitably means an extension of the collection and delivery service. In some instances, therefore, whilst the farmer might be prepared to take his goods to the local station on his own vehicle in the knowledge that it will be available for other uses in an hour or so, he may prefer to employ a professional haulier for the longer journeys to the new railhead.

But the N.F.U. believes that the greatest upheaval from the Beeching Plan could be felt in sundries traffic. The method of distribution of highly perishable horticultural produce and nursery stock, in comparatively small regular consignments, has been a natural development from the intensive railway network that has covered the country for morj than a century. The N.F.U. considers that there should, therefore, be close liaison with nationalized transport and independent road hauliers in the servicing of liner trains and " sundries " railheads, with the strong implication that there will be greater opportunities for road transport operators in this new integration of road/rail services.

Whilst the trend in agriculture, as in other industries, is towards larger units, there is still a high proportion of mediumor relatively small-size farms with limited access roads and approaches generally. This has the resulting effect on determining the convenient size of a road vehicle from a practical rather than an economical standpoint. As a result many fiveand six-ton platform vehicles are commonly in use both by farmers and hauliers serving them, and comparative operating costs of these two types are now given, with the assumption that both are fitted with oil 'engines and average 400 miles a week throughout the year. In practice the weekly mileage will be substantially lower in the winter and higher at seasonal times.

THE SMALLER VEHICLE

Dealing first with the smaller vehicle, it will be assumed that the initial outlay for this 5-tonner is £1,255. With an unladen weight of 2 tons 17 cwt., the annual licence duty (assuming, of course, that it is used by a haulier at the standard rate of excise duty) would be £42, the equivalent of 17s. 8d. a week. This includes a small addition in respect of the A-licence fee. Wages are reckoned at the equivalent of £10 13s. lid, a week for a basic 42 hours, inclusive of the recently increased National Insurance contributions and an adjustment to permit two weeks' holiday with pay.

Allowing for recent increases following revaluation, rent and rates in respect of garaging the vehicle are reckoned at the equivalent of 19s. 6d. per week, whilst comprehensive insurance incurs an annual premium of £102, or £2 Os. 10d. per week. With interest charges at a nominal rate of five per cent on the initial outlay, the equivalent of £1 5s. 2d. a week is added. This gives a total of £15 17s. id. a week for these five items of standing costs, based on a 50-week year to allow for two weeks per annum for major overhaul of the vehicle or driver's holidays. This is equivalent to a standing cost of 9.51d. per mile at 400 miles a week, or 90-59d. per hour at 42 hours per week. It will be assumed that oil fuel is purchased in bulk at 4s. 21d. a gallon and that a rate of consumption of 18 m.p.g. is maintained. This gives a fuel cost per mile of 2-79d., whilst lubricants are reckoned to add 0.26d.

Assuming a set of tyres costs £163 and averages a mileage life of 30,000, tyre cost per mile becomes 1.30d. Maintenance is reckoned at 2-47d, and depreciation 1-55d, per mile, assuming a vehicle life of 150,000.

Total running costs are therefore 8-37d. per mile, or £19 19s. Od. per week, whilst total operating costs become 17.88d, per mile, or £29 16s. Id, per week.

To these basic vehicle-operating costs have tc be added overhead costs and profit margin to provide a minimum charge. Allowing a 20 per cent addition for both these items, the charge per mile becomes only 25-04d. or alternatively £41 15s. Od. a week when 400 miles are averaged. Where a considerable amount of standing time is anticipated, or alternatively the standing time is uncertain, a charge per hour plus a charge per mile might be more applicable, in which case the corresponding charges would be 126.83d. per hour plus 11.71d. per mile, again assuming an average of at least 400 a week.

WITH THE 6-TONNER Dealing similarly with the 6-tonner, although the unladen weight would be greater-namely 2 tons 19 cwt.-it would still remain within the same licensing category, with the equivalent weekly cost of 17s. 8d. Wages, however, would be in the higher category and amount to £11 2s. 8d. with additions as before. Appropriate to the larger size of vehicle, rent and rates would now be reckoned at £1 Os. 6d. and insurance at £2 5s. 7d., based on an annual premium of £114. With the initial outlay increased to £1,360, interest charges become £1 7s. 2d., giving a total standing cost per week of £16 13s. 7d., the equivalent of 10.0Id. per mile or 95-30d. per hour.

With the m.p.g. reduced to 16.5, the fuel cost per mile becomes 3.05d., whilst lubricants are reckoned at 0-28d. and tyres I.40d., with a set now costing £174.

Maintenance is increased to 2-67d. and depreciation to 1-68d, a mile. The total running cost is therefore 9.08d. per mile, or £15 2s. 8d. a week; with the total operating costs becoming 19.09d. per mile, or £31 16s. 3d. per week. With the same addition as before for overhead costs and profit margin, the minimum charges for this 6-tonner when averaging 400 miles a week are 36.72d. per mile or £44 I Is. Od. per week. Alternatively, as a combined charge of time and mileage this would amount to 133-43d. per hour plus 12.71d. per mile.

It will be noted, incidentally, that the difference in the actual weekly cost to the operator as between the 5-tonner and the 6-tonner is £2 Os. 2d. (i.e., £29 16s. id. as compared with £31 16s. 3d.). Whilst it would obviously be more economic to employ the larger vehicle when full-load traffic was available, in both cases the margin is small enough as to permit some proportion of under-loading of the larger vehicle when unavoidable before it proves uneconomic to operate as compared with the 5-tonner.

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Organisations: National Farmers Union