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Praise for James Hutton progress

The Farmcare potato business at Carnoustie has been bought by Morrisons.
The Farmcare potato business at Carnoustie has been bought by Morrisons.

James Hutton Ltd, the commercial subsidiary of the James Hutton Institute, made a pre-tax profit of £170,000 in its first full year of trading.

The Invergowrie-based company was formed by the merger of Macaulay Scientific Consulting and Mylnefield Research Services’ trading arms.

It translates the scientific research of the James Hutton Institute, with sites in Aberdeen and Dundee, into commercial services, licences and products for agricultural and environmental sectors and also in exploration and production for the oil and gas sector.

The James Hutton Institute, which has charitable status, is a globally recognised research organisation for the sustainable use of land and natural resources.

It was formed by bringing together the Macaulay Research Institute and the Scottish Crop Research Institute.

With a staff of 34, James Hutton Ltd’s turnover in the year to March 2016 was £4.92 million, £1m (25.2%) up on the previous year.

Profit before tax soared from £12,000 to £170,000, and the gift aid back to the institute was £849,000.

The company’s business units are Plant Breeding Services and Variety Rights; Analytical Services and Contract Research and Consultancy.

Income from the first was £1.329m with royalties slightly down due to the expiry of rights for Loch Ness blackberries and a small decrease in income from blackcurrants, brassicas and strawberries.

Royalities’ income from potatoes rose, and the company said it continued to deliver on several long-term potato and soft fruit breeding programmes.

Analytical Services’ income was £1.767m, with the significant global downturn in the oil and gas industry having an adverse effect.

Contract Research and Consultancy’s income of £1.8m resulted from a year of 10 new innovative UK projects.

Managing director Fraser Black said the board was pleased with the progress of the newly merged business and its closer integration into the activities of the James Hutton Institute.

He added: “Significant investments are being made in business development, marketing and new business discovery to fulfil the five year business plan and grow income.