Morrisons’ abattoir serves notice to pig producers
© Adobe Stock Woodheads abattoir in Lincolnshire, owned by the supermarket chain Morrisons, has given notice to a significant number of pig producers, citing a “challenging economic climate”.
Some producers are expected to be dropped entirely by the abattoir, while others may be asked to supply fewer pigs.
A spokesman for the abattoir told Farmers Weekly sister title Pig World that it was consolidating its processing volumes and reducing the number of pig producers in its supply chain.
See also: Rising input costs and falling prices hit pig sector
They added: “We understand the impact this news has on individual farming businesses, and our goal is to handle these exits with as much clarity and fairness as possible.”
This comes during a difficult time for the pork sector, with prices falling and backlogs reported at some sites.
Finished pig prices have fallen by almost 19p/kg since the start of the year, with the EU-spec standard pig price (SPP) dropping a further 1.88p/kg in the past week to 178.34p/kg.
This puts many producers in a loss-making position, with the full economic cost of production for the first quarter of 2026 estimated by AHDB to be 192p/kg deadweight.
Contract reform
All pig contracts must comply with the Fair Dealing Obligations (Pigs) Regulations by 13 August this year, which sets out terms on pricing, duration, volumes, termination and dispute resolution.
Lizzie Wilson, chief executive of the National Pig Association, said: “The onus is on processors to ensure they are compliant on all contracts by mid-August.
“While we appreciate the very difficult market conditions currently, if this has not been discussed yet with your customers, we encourage you to start raising it now.”
