Sainbury's pays producers extra cash

THE sheep industry has welcomed Sainbury’s decision to pay producers more for lamb until the end of February.

THE sheep industry has welcomed Sainbury's decision to pay producers more for lamb until the end of February.

The NFU said the move would challenge other supermarkets to follow its lead. Sainsbury’s will now pay the 800 farmers who supply its own and Taste the Difference ranges £3.80/kg for lamb.

It comes shortly after researchers from the NFU revealed that farmers were losing on average £29 per lamb after farmgate prices fell by around a fifth last year.

NFU livestock board chairman Charles Sercombe said: “It’s positive that Sainsbury’s has listened to its farmer suppliers and although it only involves limited numbers and is for a limited time period, it lays down the challenge to other major retailers to ensure their lamb suppliers also receive a fair price.

“The NFU will be looking closely at the procurement activities of all major retailers in the coming days. The consumer showed last summer on milk that they will not accept retailers paying farmers below the costs of production for food.”

 

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