Agriculture in Post War Britain
Since the end of World War
II in 1945, British agriculture has become 'production orientated'. In the
second half of the 20th Century farmers were encouraged to maximize yields
through the use of increased artificial inputs and improved plant and animal
genetics, areas which will be examined in further detail later. This trend
continues to the present day, with new technological advances in genetic
modification of plants and animals becoming available to farmers. This is
demonstrated by the graph below illustrating changes in wheat and barley yields
since 1948.
Source: (data) DEFRA, 2011
At the end of the war
in 1945, the UK needed to maximize food production. Food rationing did
not end until 1953. As a result of this, generous guaranteed prices were
continued for major agricultural products. The 1947 Agricultural act was passed
(and supported by all political parties) and stated:
The twin pillars upon which the Governments agricultural policy rests are stability and efficiency. The method of providing stability is through guaranteed prices and assured markets.
Annual price reviews were
instigated and prices fixed for the main crops (wheat, barley, oats rye,
potatoes and sugar beet) for eighteen months ahead. Minimum prices for
fatstock, milk and eggs were fixed for between two and four years ahead.
An agricultural expansion
plan aimed to raise output from agriculture by 60% over pre-war levels. In
1953, world cereal prices fell and minimum guaranteed prices were replaced
by deficiency payments for cereals.
The 1957 agriculture act
set out some long term assurances, including:
|
Not to reduce the guaranteed price
of any product by more than 4% in any one year. |
|
Not to reduce the price of
livestock or livestock products by 9% in total over any three consecutive
years. |
|
Not to reduce the total value of
guarantees by more than 2.5% in any one year. |
Given
stability in prices and guarantee's, farm incomes rose, giving farmers the
confidence to undertake capital investments and utilize the latest technology.
This was especially true of arable farming. Cereal prices increased at a
quicker rate than other commodities. Crop yields improved due to higher
yielding varieties, herbicides and fertilizer. Labour use and costs were
reduced as the level of mechanization increased. Increases in incomes on dairy,
upland and small farms were slower with less scope for mechanization.
CLICK HERE for a browse through the
University of Reading Museum of English Rural Life (MERL) website. This
includes many interesting articles and photographs
Pause for
thought.....List 5 reasons why government should continue to provide monetary
support to agriculture in the UK.
Trailed combine, Hampshire - 1930's
Photograph courtesy
of The Rural History centre, University of Reading
During the 1970's and after
Britain entered the European Economic Community (EEC), the system of price
support changed from deficiency payments to protection and intervention
payments. There was a complex system of monetary compensation amounts which
attempted, without success, to keep farm prices similar in different countries,
but farm incomes generally remained stable. In 1972-73 poor grain harvests led
to world grain shortages (some prophets of doom were predicting world
starvation) resulting in price increases of around 50%. Fortunately, world harvests
soon improved and surpluses of grain and other products soon developed. The
price farmers received for these products continued to improve, as did
yields. The chart below illustrates the increase in UK wheat yields since
1885 note the change in the curve during and after world war II.
CLICK HERE for spreadsheets detailing post
cereal yield improvements (includes oats, triticale & rye).
Pause for
thought..... Does the above graph suggest an increase in the efficiency with
which cereals are produced in the UK other than an increase in output per
hectare... is this an important measure of efficiency?