Diversify or die?

In a bid to overcome the struggle six out of ten family farms now have at least one diversified income outside of core farming activities, according to research carried out by The Old Mill accountants and financial advisors service for the south west.

As the setting for Channel Five's reality TV series The Farm, East Hill Farm owned by Richard Guy and Gilly Metherell, in Heytesbury, near Warminster, is one of many examples of how they have radically diversified their farm to keep ahead of the market.

The Real Meat Company is a highly successful venture for East Hill farm after it was set up in 1986 to offer the first brand dedicated to welfare, purity and eating quality.

Mr Guy said: "It is great because it has provided another source of income which is very important, because over the last decade generally the situation has been dire.

"Things are steadily improving this year but the price of commodities is dramatically increasing."

Diversification has certainly been the answer for this couple who have transformed the once 285 acre site in 1979 to the bustling 1,600 acre beef and cereal farm that it is today.

With a passion for horses Ms Metherell has also invented Hay Hutches, a revolutionary and easy to use design for feeding horses, alpacas and other types of cattle.

Breeding thoroughbred racing horses, photography and various other inventions are just some of the many ideas growing from the hills in Heytesbury, along with the already successful Real Meat Company, ensuring their success in the future of farming through diversified means.

Speaking about the TV crews from Channel Five, Mr Guy said: "The Farm is probably the most unusual diversified thing we have done.

"We gained a number of incomes such as for the use of the site, a consultancy fee on how to rear the animals, not least it brought a huge income to the area for hotel rooms and so on.

"At the moment livestock farming is struggling as feed prices have gone up. They are being pressured by the supermarkets who are offering even lower prices. They are just not getting their money back."

In research carried out by The Old Mill Rural Services, out of a sample of 150 of their clients, 56 per cent have significant other enterprises outside of traditional farming, with the most common being in property interests.

"Some 37 per cent of farms now have an element of property management, varying from residential lettings to bed and breakfast and office units," said Ian Sharpe, a partner at the accountancy group.

"In addition, 15 per cent of farms have one of a number of other diversification projects ranging from golf courses to horse livery and farm shops.

"But it is important to note that these figures only relate to farm diversification, not to non-farming jobs undertaken by family members. Off-farm employment now forms a significant part of modern farming family life.

"The impact such diversification has on the bottom line ranges from a few thousand pounds to over a million - in some cases considerably overtaking the core farm activity."

The chairman of Warminster's Chamber of Commerce Tony Nicklin was a farmer for 20 years up until he moved to Wiltshire in 1992.

He said: "Farming is an extremely important enterprise. I have the greatest admiration for farmers. It is only in decline because of the way the government treats farmers. I think it is about time we gave farming the highest priority over industry."

Mr Nicklin appreciates the importance of diversification but does not think it should be the long-term option.

He said: "Farmers can do themselves and the community a great benefit by diversifying even if it is just offering bed and breakfast or by allowing people to go onto their farm.

"I think diversification is not the answer, but I think it is a way they can ride the time until the government understand that it is the most fundamental right of a human being to farm."

Tim Barton has taken diversification to a whole new level on his farm in Wadswick near Box.

Disused barns have been converted into holiday cottages, a farm shop has expanded into a major retail outlet, including a coffee shop, and they even have their very own airstrip.

Mr Barton, 55, took over Manor Farm from his father who moved to the area from The Cotswolds 40 years ago this year.

After stints in Australia and New Zealand he moved back home to help out on the farm and did contract work for other farmers in the area.

He said: "It was about 1978-79 when we started out first diversification which was drying and storing grain for other farmers.

"From there we started making our own animal feeds and selling them which is where the farm shop started from.

"I figured a long time ago that the government was supporting farmers but this was going to end at some point so we ought to be finding our own market for stuff."

The Wadswick Country Store expanded 15 months ago and now attracts 3,000 visitors a month.

Along with animal feeds, the farm produces wild bird food from the sunflowers and maize it grows.

There is also a saddlery section employing a master saddler and another fitter so people can have saddles fitted to their horse's back.

The three cottages were converted for holiday lets in 1998 after the family became too busy to continue to run bed and breakfast rooms in the farmhouse.

But the most unusual way of using his spare farm land is the grass airstrip, put in after Mr Barton's father learnt to fly a the age of 65.

He said: "We have people with planes who use it to keep their aircraft on and other people use it to land on and pay a donation to Wiltshire Air Ambulance.

"It doesn't take much maintenance, we just mow it every so often."

But if you thought running costs on a farm with so many businesses would be high, then Mr Barton has already thought of that.

They now grow Elephant Grass or Myscanthus to feed into a biomass boiler they have bought, which fuels the whole site.

For now though he says his diversification plans have reached a natural conclusion.

He said: "My wife says she doesn't like me having too many mad ideas these days."

Have your say in future of farming

A MEETING to discuss the future of farming will be held at the Athenaeum Centre in Warminster next month.

The meeting will be hosted by David Stratton, the owner of a 3,000acre farm in Kingston Deverill near Warminster, on May 12 at 6pm.

Tony Nicklin, the chairman of the Warminster branch of the Wessex Chamber of Commerce will also be attending, having been a farmer for 20 years up until he moved to Warminster in 1992.

Light refreshments will be provided and the Friends of the Athenaeum group will be opening the bar for the occasion. Interested parties are advised to call in advance to reserve a place. The box office number is (01985) 213891.