Ginger plantation boss calls for government help

A Grantham entrepreneur is calling for the government to overhaul support for small businesses after "struggling for years" to create "the country's first commercial ginger plantation".

Alastair Hawken, the founder of Hawkens Gingerbread, said he had to turn to a neighbour to build a system of growing ginger after he was refused funding.

"The potential is to totally revolutionise the spice industry, but I can't tell you the amount of times I've almost given up," he added.

A spokesman for the Department for Business and Trade (DBT) said it was "determined to back businesses".

Mr Hawken's gingerbread products are currently made using ginger imported from China.

He said he decided to grow his own after becoming "concerned about the huge carbon footprint involved in importing it" and "realising the huge potential to grow ginger in this country as well as other spices".

He applied for a £50,000 grant from the Innovate UK fund to plant a test crop, but was turned down "with no feedback, which I think is deplorable".

His neighbour voluntarily built a hydroponic system, which involves growing plants without soil by using water-based mineral nutrient solutions. The system is now being used to grow two varieties of ginger – zingiber mioga and zingiber officinale – in a polytunnel. It will be harvested in November.

Mr Hawken said he was also turned down for bank funding after being offered a large contract with an American customer.

In the end he managed to source £150,000 to buy the ingredients, packaging and staff wages after putting out a post on LinkedIn "as a desperate measure".

"The government is fantastic at talking about the strategies but it has to understand that there are so many barriers to small and medium-sized businesses in getting funding and support," he said.

"I even had a private meeting at the House of Lords this year to get some understanding as to why there's no funding, but the doors just stay shut."

The issue was discussed on the BBC's Politics North programme on Sunday.

Mr Hawken put his frustrations to Olivia Blake, Labour MP for Sheffield Hallam who said she had noted his concerns.

"We're really keen to see growth happening right across the country," she said.

"We've said that we want to have £22bn every single year for research and development by the end of this spending review.

"I'm hoping a fair whack of that will go to small and medium sized enterprises", she added.

Wayne Dickson, Social Democratic Party group leader on Leeds City Council, also appeared on the programme. He said small businesses raised concerns with him about national insurance and business rates, but also a lack of finance from banks.

"I think until that changes, the pressures are still going to be on those small and medium businesses that, to be honest, are the lifeblood of our society, and we need to build them and grow them and nurture them really, and that's what we're lacking at the moment," he said.

A DBT spokesperson said: "We know access to finance is a huge issue for businesses, and especially SMEs who play a crucial role in our economy.

"We're determined to back these businesses as part of our Plan for Change. Last week, the chancellor announced more support for lenders to help them access the finance they need, and we will set out further support in our Small Business Strategy later this year."

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