GRAIN merchant Alexander Inglis & Son saw turnover increase by 11 per cent in the year to December 2017 thanks in large part to a rise in grain prices over the course of the year.

Turnover at the East Lothian firm, which generates most of its revenues by supplying grain to the drinks industry, rose from £67.4 million to £75.1m, while pre-tax profits fell from £1.9m to £1.8m.

Read more: Profits at Alexander Inglis hit as grain prices fall

While that means the firm has not recovered all the ground it lost between 2014 and 2015, when its turnover fell from £79.3m to £68.5m, chairman Jim Aitken said further rises are likely in the current year due to the strength of grain prices.

“This year grain prices will be up by £60 to £70 a tonne – that’s a big percentage rise,” he said. “Everybody will be showing big increases in turnover this year.”

With this year’s harvest currently under way, Mr Aitken said that “things are looking okay” despite the impact of the weather extremes experienced during the year.

“The quality is not there and yields are down a bit but that’s being made up for on price,” he added.

Read more: Alexander Inglis revenue grows on whisky sector demand

Mr Aitken said the firm had renewed a £30m overdraft with Macquarie Bank during the current year, adding that he was “more than happy” with the bank because it understands the grain business.

“After our experiences with the other chancers we were dealing with it’s been a breath of fresh air,” he said.