New shoots: Following a sharp cut back earlier in the period, industry revenue has risen

The industry includes all farms that grow non-perennial arable crops in open fields. The industry includes a large number of small owner-operated farms that grow a range of crops, the prices of which are determined by world markets. As a result, the performance of the industry can be volatile, with exogenous factors influencing industry demand. Over the past five years, a combination of adverse weather conditions and falling commodity prices has caused revenue to decline. The industry has also been affected by the significant decrease in the world price of wheat, estimated at US$185.70 per tonne (£140.20) in 2018, compared with US$242.50 (£152.70) in 2014. Despite a rise in wheat production in 2014, prices fell significantly which contributed to revenue falling in 2014-15...read more.

Industry Statistics & Market Size
Revenue
£4.5bn
Annual Growth 14-19
-1.6%
Forecast Growth 19-24
Profit
Employment
73,725
Businesses
47,805
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Rising exports and strong demand from malt manufacturers is expected to support growth
  • The weakness of the pound has boosted exports and increased the value of euro-denominated subsidies
  • The UK’s exit from the European Union could pose problems with regard to the availability of labour
  • Industry Report - Starting a New Business Chapter

    The barriers to entering the industry are estimated to be low, as inputs are readily available for potential operators. Growers are able to switch between different crops easily. Setting up industry operations requires a significant amount of investment, as potential entrants need to purchase vast amounts of farmland, grain silos and machinery such as harvesters and tractors. However, investment requirements can be reduced by leasing and renting capital equipment.Industry operators benefit from the Common Agricultural Policy (CAP), through the Basic Payment Scheme, which is a direct payment available to UK farmers. Guidelines for subsidy payments are expected to change with future payments expected to be based on farming practices that enhance the environment. Sig...purchase to read more.

    Additional Insights for the Cereals, Leguminous Crops & Oilseed Growing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Cereals, Leguminous Crops & Oilseed Growing Industry are

  • Economies of scale
  • Appropriate physical growing conditions
  • Ability to alter goods and services produced in favour of market conditions
  • IBISWorld analysts also discuss how external factors such as Level of annual rainfall and World price of wheat in the Cereals, Leguminous Crops & Oilseed Growing industry impact industry performance..

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    What's in this report

    What is the Cereals, Leguminous Crops & Oilseed Growing Industry?

    Farms in the industry grow a range of non-perennial crops in open fields, which are often combined within agricultural units. Cereals included are wheat, barley, rye, oats, millets, maize and sorghum. Leguminous crops are mainly pulses that are high in protein, such as chickpeas, lentils, beans and peas. Oilseeds include linseed, rapeseed, sunflower seeds and sesame seeds. The industry does not include the growing of rice.

    Industry Products
  • Protein crops
  • Barley
  • Oats and other cereals
  • Oilseed rape and linseed
  • Wheat
  • Industry Activities
  • Growing cereals including wheat, sorghum, barley, rye, oats and millet
  • Growing leguminous crops such as beans, broad beans, chickpeas, cowpeas, lentils and peas
  • Growing oilseeds such as rapeseed, soya beans and groundnuts
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Level of annual rainfall
  • World price of wheat
  • Demand from animal feed production
  • Demand from malt manufacturing
  • Fertiliser prices
  • Real effective exchange rate

  • Current Performance
  • Weathering the storm
  • Global roots
  • Cost controls
  • Profit performance
  • Chart: Revenue Growth

  • Industry Outlook
  • Demand for biofuel
  • Trade and labour
  • Downstream demand
  • Industry profitability
  • Table: Cereals, Leguminous Crops & Oilseed Growing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Cereals, Leguminous Crops & Oilseed Growing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Grain Milling
  • Animal Feed Production
  • Malt Manufacturing

  • Key Selling Industries
  • Agricultural Machinery & Equipment Wholesaling
  • Fertiliser & Nitrogen Compound Manufacturing

  • Products & Services
  • Wheat
  • Barley
  • Oilseed rape and linseed
  • Protein crops
  • Other
  • Oats and other cereals
  • Chart: Cereals, Leguminous Crops & Oilseed Growing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Food and beverage producers
  • Livestock feed producers
  • Biofuel producers
  • Chart: Major Market Segmentation for the Cereals, Leguminous Crops & Oilseed Growing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesDepreciationWagesRent and utilitiesOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Cereals, Leguminous Crops & Oilseed Growing

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Cereals, Leguminous Crops & Oilseed Growing Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Cereals, Leguminous Crops & Oilseed Growing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Cereals, Leguminous Crops & Oilseed Growing Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Exports (2010-2024)
  • Imports (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Biofuel
  • Fuel generated from a substance of biological origin such as ethanol or wood.
  • Organic Farming
  • Growing food without synthetic chemicals.
  • Perennial Arable Crops
  • Crops that are grown in fields and are alive year-round, being harvested multiple times before dying.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Cereals, Leguminous Crops & Oilseed Growing market research report offers insightful industry analysis and research into the market at the national level. IBISWorld’s in-depth industry market research is presented in a logical and consistent format. The industry report contains key industry statistics, market size, industry trends, and growth and profit forecasts for a 5-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
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    This report on Cereals, Leguminous Crops & Oilseed Growing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Cereals, Leguminous Crops & Oilseed Growing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Cereals, Leguminous Crops & Oilseed Growing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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