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Pig farmers angry that crisis facing industry dismissed

PIG farmers in the region reacted angrily last week to British Retail Consortium dismissals of the crisis facing their industry.

They were particularly angered by Richard Dodd, BRC spokesman, who said it was supermarkets who were absorbing costs to help beat food inflation.

And by Kevin Hawkins, BRC director general, who wrote in The Grocer magazine: "As for the farmers, with a few exceptions, they are doing quite nicely thank you."

The British pig industry has repeatedly warned it will vanish if producers don't get better prices - feed costs have doubled and farmers are losing more than £20 per pig.

Consumer surveys have repeatedly shown they will pay more to help farmers but BPEX, which represents English producer levy payers, says that while the supermarket price of pork has risen by an average of 57.89p/kg since last July - at farm level it only rose 7.49p/kg.

"At the same time production costs for farmers have risen by 35p/kg," said Richard Longthrop, Yorkshire producer.

"So when it comes to pork and bacon, it is the pig farmers who are absorbing costs and making a loss, not the supermarkets."

If producers quit, major shortages would quickly occur.

He said: "Then prices really will rise and high-welfare, fully-traceable, locally-produced pork, bacon, ham and sausages will only be available in very expensive niche outlets."

Stewart Houston, BPEX chairman who farms near Bedale, said: "There is a lot of anger among pig farmers. We've made the retailers very aware of the issues facing pig producers and the need for more money to pass back down the chain.

Mr Houston hoped BRC's comments were not the start of a move by retailers to get farmers to absorb more of the costs.

"If it is, it won't work as pig farmers will simply go out of business and the price will go up sharply as the lack of supply starts to really bite," he said.

"We don't want this, consumers don't want it and we're sure that retailers don't either. But we need to get a fair price soon or it will happen."

12:38pm Friday 2nd May 2008

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