British fresh food processing group Cranswick is currently in negotiations with its customers for pork price increases in a bid to ensure continuity of supply.

In the company’s latest trading statement, management said they were concerned about rising animal feed costs, a decline in the European pig herd – due to the cost to producers of implementing the European sow stall ban on 1 January 2013 – and the fact UK pig prices were at a three-year high.

“This is an issue affecting the whole supply chain and the scale of the inflation and the need to ensure continuity of supply will necessitate discussions on price increases with the group’s customers; these are under way,” the group said.

Results from the first half trading statement show that underlying turnover in the six months to 30 September 2012 was 5% ahead of last year, while total sales for the six months were 6% higher.

Gemma Mackenzie on G+

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