As a producer of finisher bulls (breeding of calves from own cows)with the concept of self marketing it is difficult for a farmer to predict the income of the following year. A farmer with a herd of Glan Rindern implemented the good practise of concluding contracts with restaurants in his region. Every year they agree on a certain amount of meat for a specific price. Thus the farmer knows exactly what amount of meat he will sell to the restaurants and knows his income by these sellings. The meat is in great demand at the restaurants as the customers of the restaurants pay more and more attention to the origin of meat and regionality has a high value. If the farmer produces more meat than he can sell to the restaurants, he can still sell this meat to other customers, like private individuals. But he has a basic income which makes economic planning more easily.
The main benefit for the farmer is a basic income which gives certainty in economic planning. People at the restaurant want to know where the meat comes from, so the farmer is able to sell more meat to private individuals as well
It took several months to close the first contracts with the restaurants as both sides had to agree on the amount of meat and- even more difficult- the price for the meat. The restaurants had to be convinced that regional produced meat has a rising demand. The implementation still takes places, as some restaurants don't buy meat anymore, but others just start to consider a contract.
The main challange was to gain the trust of the owners of the restaurants that this meat has a rising demand.
A key success facctor was to invite the owners of the restaurants to have a look at the farm and the housing conditions of the animals and to use this knowledge in marketing the meat
Author: Lena Lindau - BRS