BPS or June Survey Areas, which are Correct?

Since the revision of the CAP in 2015, when Greening was introduced, the claim form for direct payments has become considerably more complicated. The necessity to record each crop, which was simply not a requirement of the Single Payment scheme is present with the Basic Payment because of the 3-crop rule.

For the second year running, Defra has published a comparison table comparing the June census crop area figures for England against the claimed BPS crop areas. A noticeable difference between the 2 sets of data has emerged, specifically in wheat, with an almost 7% difference in 2018 (BPS lower). This is equivalent to 108,000 hectares which at average yields is over 850,000 tonnes of wheat potentially  missing, certainly enough to have a considerable impact on the market, especially as it would shift the UK’s balance from that of a net exporter to net importer. The market reacted with an assumption the survey was incorrect which may not be the case.

Examination of the other crops suggests the differences between the two data sources have increased this year compared with the previous 3 years. As the tables below show, considerable differences  of the magnitude experienced in wheat (as a percentage of each other) are also seen in oats, beans and fallow land.

There were no differences to the forms this year, so whilst it is possible that claimants entered field edges and environmental scheme information differently, or entire field versus cropped field areas, one would expect the differences to be consistent year to year. It is barely possible that the different date of each form made any difference (even with the extreme weather conditions) as crops would have been planted for both dates; 15 May and 1 June. Defra is examining the discrepancy and we will report of the outcome when we know it.

Early Bird Survey

AHDB Cereals and Oilseeds has published its provisional results for their annual Early bird Survey, undertaken for them by The Andersons Centre.  Planting intentions for the GB 2018 harvest suggest a small decline in wheat area. Spring barley and oilseed rape are expected to rise in area from the 2017 harvest, with a fall in area forecast for winter barley and pulses. The area surveyed this year has nearly doubled to just under half a million hectares.

EARLY BIRD SURVEY (EBS) ESTIMATES OF GB CROP AREAS FOR HARVEST 2018
‘000 hectares

DEFRA June Survey 2017

EBS Forecast Harvest 2018

Change

All Wheat

1,791

1,752

-2%

Winter Barley

424

388

-9%

Spring Barley

754

773

3%

Oats

161

160

-1%

Other Cereals

52

52

1%

OSR

563

616

9%

Other Oilseeds

27

27

1%

Pulses

232

219

-6%

Arable Fallow

241

247

3%

Other Crops on Arable Land*

431

438

2%

Total

4,676

4,671

Source: AHDB /The Andersons Centre     * Sugar beet, potatoes, maize, vegetables, roots & other stock feed

The provisional results have been used to extrapolate from the 2017 UK June Survey to produce forecast crop areas for the 2018 UK harvest.  The wheat area is seen down year on year by 2% which, if correct, would result in 1,752,000 Ha, making the fourth consecutive decline in area; but still within the range of recent years.  Winter barley area is seen declining by 8.5%, with the spring barley area continuing its rise, forecast to rise by 2.5% in 2018 to 773,000 Ha (its fourth consecutive area increase).

The oilseed rape area is forecast to see a strong rebound by 9%, bringing it back over 600,000 Ha, following the three consecutive declines in recent crops.  Pulses are predicted to fall in area by 6%, probably mostly due to the ban on pesticide usage in Nitrogen Fixing Crops used for Ecological Focus Areas.

The trend of greater inclusion of other crops on arable land (e.g. crops for AD and livestock) is thought to rise by 2%.  This is also likely to include an increase in the area of sugar beet as a result of a rise in the amount of Contract Tonnage Entitlement being offered for 2017 and 2018 crops.