Arable farmers in the UK are to benefit from a new government review tackling unfair practices in the combinable crops’ supply chain.
It is claimed that the process will help to protect growers’ businesses from unfair activities.
Announced as part of a new deal for farmers, the review aims to ensure that growers have clear, fair, and enforceable contracts – covering pricing, supply volumes, data, and dispute resolution.
Department of Food, Environment and Rural Affairs (Defra) Secretary, Steve Reed said: “British growers work incredibly hard to produce world-class food and deserve fair, transparent contracts that reflect that.
“This review is a major step forward in giving arable farmers a stronger voice, better protection, and fairer returns for the food they produce.
“We’re proud of the vital work farmers undertake every day to feed our nation, which is why we’re investing £5 billion – the largest-ever budget for sustainable farming.
“The government has already taken decisive action to secure a fairer deal for farmers. This includes slashing costs and red tape for businesses who export to and import from the EU, making supply chains more resilient and helping reduce costs for consumers.
The Defra secretary said the government has appointed former National Farmers Union (NFU) president Baroness Minette Batters to lead reforms that “put more money back in farmers’ pockets, as part of our Plan for Change”.
Reed also said that Defra will collaborate with devolved governments in Scotland, Northern Ireland and Wales to develop a “fairer, more transparent supply chain that benefits both farmers and the public”.
The department will also launch a formal public consultation to give farmers and other stakeholders the chance to share their experiences.
NFU Combinable Crops board
Commenting on this development, chairperson of the NFU Combinable Crops board, Jamie Burrows said he has long called for “fair dealing in our food and drink supply chains to sustainably support British farming”.
He said: “NFU members in the combinable crops supply chain consistently report that it does not operate fairly, and has not done so for many years, with growers bearing most of the risk.”
According to Burrows, NFU members have said there is a lack of transparency and fairness within the supply chain, with growers bearing most of the risk despite receiving the smallest proportion of value.
“Greater transparency and certainty over the operation of contracts would boost grower confidence and allow us to make informed business decisions, which would help improve profitability and drive long-term investment in the industry,” the NFU representative added.
