Following its apparent success in getting better prices for dairy farmers, the National Farmers Union is looking for supermarkets to raise prices on chicken and eggs by up to 20 per cent. London’s Financial Times has reported that the Union, along with the British Poultry Council and the British Egg Industry has written to leading supermarkets to ask for a price increase.
Peter Bradnock, chief executive of the British Poultry Council said that poultry farmers’ production costs have risen by up to a quarter since the start of the year and this increase needs to be passed on. Wheat futures in the UK have jumped nearly 50 per cent since December, reaching a peak of £210 per tonne this month.
Duncan Priestner, chairman of NFU, told the London Financial Times, “What the supermarkets are hoping is that the price of feed will come down and that farmers will just have to grit their teeth and take this on the chin until prices come down.
Priestner explained, “The problem is if these prices don’t come down then the supermarkets are going to have to react to that, otherwise farmers won’t be able to put the next stock of chickens in because they can’t afford it.” (27 Jul)
© 2012 ESM European Supermarket Magazine
