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GROWING DIVIDE
● Supermarkets come under fire ● Farmers demand fairer prices SUPERMARKETS making high profits have been criticised as farmers warn of a growing disconnect between producers and retailers after one of the worst springs in a generation. But speaking before Parliament this week, retailers denied they had ‘bullied’ producers who faced mounting pressures on-farm to keep retail prices under control during the cost of living crisis. An Environment, Food and Rural Affairs committee meeting on Tuesday (April 30) brought together senior executives from Asda, Tesco, Waitrose, Lidl and Sainsbury’s, who were questioned by committee chair Sir Robert Goodwill. The criticisms follow warnings published in the report by Ged Futter launched at the Oxford Farming Conference, Is our food supply chain broken?. It found the risk of producing food was outweighing the rewards, resulting in farmers giving up production. During the committee hearing, retailers defended the amount of support they had provided to farmers and the steps taken to pay a fair price. Dom Morrey, commercial director
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three cost price increases ahead of the season in response to the challenging weather. NFU horticulture board chair Martin Emmett said the horticultural supply chain demanded fairer
for fresh food at Tesco, said: “The last 18 months has been particularly challenging, with input costs right across the supply base being challenged, not just the farming sector.” He said this had led to ‘unprecedented’ discussions around price, which had been open and transparent, and the supermarket had ‘responded quickly to address them and pay fair prices to our suppliers when they have asked for it’. Waitrose commercial director Charlotte Di Cello said the challenges had led to greater levels of co-operation with suppliers.
Transparency She said: “We have very transparent deals, which mean we will always pay the cost of production and help farmers make a living.” Asda chief commercial officer Kris Comerford said the sector had an effective and active regulator with the Groceries Code Adjudicator to ensure it acted honestly and openly with producers. A reduced fruit yield this season was highlighted by Sainsbury’s chief commercial officer Rhian Bartlett, but she said the retailer had implemented
relationships with retailers to ensure fairness and transparency to alleviate ‘spiralling costs of production’. Welsh farmer Gareth Wyn Jones, of CONTINUES ON PAGE 2
PICTURE: WAYNE HUTCHINSON
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01/05/2024 16:24