The Scottish government has launched a new £2 million support scheme for Scotland's independent pig producers to help them with "significant market challenges" facing the sector.

Government officials outlined that the funding will go to farms most at risk from a prolonged drop in pig prices, which is reportedly threatening businesses and the long-term viability of the 'Prime Scottish Pork' brand.

It has been reported that Scotland has lost an estimated 15% of sows in the independent sector since the start of the year, with four producers already exiting the market.

The government claimed that the fall in pig prices has been driven by a combination of EU market weakness, processing disruption, seasonal plant constraints, and ongoing supply chain pressure.

Scheme details

The Scottish government emphasised the goal of the scheme is to support independent producers, who have "consistently been receiving substantially lower market prices than normal."

The scheme will allow eligible independent pig producers to claim the difference between the price they received for their pigs and 85% of the Standard Pig Price (SPP), which is the average UK deadweight price.

Government officials noted that the support will apply retrospectively to losses incurred since March 2026.

It will be open for applications from July 15, with provision for the scheme to continue until August this year.

NFU Scotland

While welcoming the £2 million package, National Farmers' Union (NFU) Scotland warned that the support is "unlikely to go far enough to address the financial pressures facing the sector".

The president of NFU Scotland, Andrew Connon stated that the gap between prices paid to independent producers and the SPP has exceeded £1 million per month since March, making it unlikely for farms to make up the losses it has sufferred.

He said: "We've been clear throughout that emergency financial support was needed to help businesses through this crisis; but it cannot be the end of the conversation.

"Until that imbalance is addressed, we're simply treating the symptoms rather than fixing the cause."

Connon added that the long-term solution to this issue is not more emergency financial support, but rather "a fairer marketplace that delivers sustainable returns for Scottish pig producers."

NFU Scotland also confirmed that the Scottish government will review the scheme ahead of any extension past its deadline in August.