You don’t need to be a benchmarker to benefit from Farmbench (but it helps)

Julie Clark provides an overview of Farmbench, including how its benefits extend far beyond the sphere of seasoned benchmarkers.

Farmbench is a free-to-use online benchmarking tool from AHDB that lets you compare your enterprise production costs with those from similar businesses.

Knowing production cost has never been more important. By revealing how your farm compares with regional and national benchmarks it can highlight improvement areas and set a clear direction for your business.

For example, it can help prioritise the costs to focus on and reveal which crops perform consistently well in a rotation (and those that often underdeliver).

Ultimately, Farmbench can improve farm business efficiency and increase profits.

While you can use Farmbench independently, the most valuable lessons are often learned among peers.

There are over 40 AHDB-supported Arable Business Groups (ABGs) across the UK, which provide a constructive and safe space for like-minded farmers to meet throughout the year, with Farmbench at the core of many discussions.

The groups play an important role in shaping data-driven decisions, which can be judged by the longevity of ABGs. Many have operated for more than a decade, frequently originating from other on-farm networks, especially AHDB Monitor Farms.

Through expert facilitation, the ABGs drill down into the specifics that make farm businesses tick. Attendees get to grips with production costs, learning how each enterprise contributes to overall business profitability.

No topic is off the table, with the debate driven by group interests and industry challenges. Inorganic vs organic fertilisers and machinery-replacement policies are some of the common subjects tackled.

For example, members review their fertiliser application strategies or determine whether it would pay to use contractors instead of using their own machinery and equipment.

Following analyses of harvest 2024 data and subsequent discussions at ABGs, 111 attendees provided feedback on the value of attending an ABG meeting and talking with their peers.

Over 60% of respondents had already made changes to their business, which included:

• Crop and rotation management
• Succession planning
• Labour and staffing reviews
• Data-driven decision making
• Identification of cost savings

Over 60% of respondents intended to make further changes to their business, which included:

• Tighter cost control (variable and overhead costs)
• Reviewing business enterprises (including rotational plans)
• Examining machinery costs and replacement policies

Thousands of AHDB levy payers have already entered their data securely in Farmbench. We are always looking to strengthen the community across the UK.

Consider signing up to an ABG to:

• Be part of a top-rated support network
• Learn from and alongside your peers
• Take part in topical discussions
• Hear from guest speakers
• Develop business management skills
• Determine production costs for farming enterprises*
• Receive bespoke performance data
• Identify best business practices (including tried-and-tested methods)
• Investigate marketing strategies

*In addition to combinable crops, Farmbench also covers sugar beet, beef and lamb enterprises.

Each year, thousands of results are entered into Farmbench. It provides a robust source of anonymised farm-performance data that can yield valuable insights into the performance of UK arable businesses: past, present and future.

The best news is that you do not need to be in an ABG to benefit.

For example, a recent Grain Market Daily article analysed cost-of-production data for cereals (winter wheat, winter barley and spring barley – grown to feed specification) and winter oilseed rape.

It homed in on the middle 50% performing farms in Farmbench (in terms of full economic net margin) and used other data sources to compare production costs associated with recent harvests (2023 and 2024) with projections for harvests 2025 and 2026.

Although the analysis showed that production costs had reduced from the recent high in 2023, it signalled that overall costs are likely to increase again for harvest 2026 crops.

For example, it indicated a 3% increase for winter wheat (compared to 2025 estimates), putting the potential full economic cost of production at £1,659/ha for the harvest 2026 crop.

Rising variable costs (mainly fertiliser price increases) were cited as the key driver behind the projected cost increase.

The forecast hinted at just a small increase in overhead costs in 2026 – with potential rises (rental value, administration costs and labour) largely offset by declines in other costs (machinery/equipment, property, energy and finance).

Naturally, the impact on net margins will depend greatly on grain prices and yields.

Such analyses on the national picture are useful but the biggest value is discussing what it means for individual businesses at an ABG meeting.

For information on Farmbench, ABGs or to contact a regional Farmbench Manager, visit ahdb.org.uk/farmbench