Agricultural group Wynnstay trading in line with expectations despite challenges

The Llansantffraid-based group, which has sites and customers across the region, said it has been able to manage rising costs and challenges relating to the war in Ukraine "well" and remains well-placed to achieve its goals for the current financial year.

In March, Wynnstay acquired Humphrey Feeds Ltd, a Hampshire-based poultry feed manufacturer and supplier, for £9.5 million, which will grow its feed activity in the free range egg sector and expand its presence in the south of England

Chairman Steve Ellwood said: “I am pleased to report that trading in the first four months of the new financial year has been in line with management expectations across core activities, while fertiliser operations at Glasson have continued to experience one-off gains from the exceptional current trading environment that has been sustained into the current financial year.

"Market volatility across most commodities has persisted, with material price increases since the start of the calendar year.

"The recent outbreak of war in Ukraine has exacerbated this, and raised concerns over the supply of fertiliser and wheat, in particular. Energy and transport costs also remain a challenge.

"Wynnstay has managed these difficult circumstances well, and once again the group’s broad spread of activities is proving a major strength. Farmgate prices have remained strong, enabling customers to absorb elements of this inflation, although higher prices are expected to curtail some demand.

“The board remains very grateful for the resilience and support demonstrated by all colleagues, especially as the coronavirus pandemic has more recently caused increased levels of absence through necessary self-isolation. Investment plans continue and will support growth and greater efficiencies.”