NFU calls for help in fuel price crisis

LIVESTOCK FARMERS must see their fair share of any price increases secured by processors, the NFU has warned.

Rocketing energy costs have hit the sector hard, leading both feed manufacturers and meat processors to warn of higher prices (FWi July 1).

But speaking at the Royal Show, NFU president Tim Bennett said the increases must find their way back down to producers.

“We’re fully behind price increases in the meat industry.

“We can’t accept any more deflation in our industry because we can’t absorb it anymore.

“Negotiations are going on in all sectors, not just with farmers, but with the processors of our products.

“We have got to make sure that some of those margins come back to us.”

His comments came after news that Grampian Country Food Group, which makes the Ramsay brand of ready meals as well as other chicken, pork, beef and lamb based meals, is seeking a 6% price rise from retailers.

Philip Wilkinson, managing director at the group’s chicken unit, promised up to one third of the price increase would be passed back to farmers.

Producers have been told to expect feed price increases of around £1.10/t as millers struggle to swallow rising energy costs.

Futures markets and commodity risk management online course:

  • Risk management strategies for a more predictable financial performance
  • Educated conversations when collaborating with your advisors
  • Negotiate better prices with your grain merchants

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