UK: The real impact of cost pressures on the horticulture sector

At a time of soaring inflation across the supply chain, NFU commissioned Promar International to investigate the true impact of cost pressure on growers.

Soaring energy costs combined with a continued lack of people to pick crops are posing a serious threat to the future of the UK’s fruit and vegetable industry.

A new report prepared by Promar International has found that growers’ cost of production has increased by as much as 27% in the past 12 months, with products such as tomatoes, broccoli, apples, and root vegetables most affected.

The main drivers are energy (up 165%), fertilizer (up 40%), and workforce costs (up 13%). 

The report also warns that despite food inflation at record highs, growers are not achieving the returns needed to run sustainable, profitable businesses, with further additional concerns on future energy prices following the end of the government’s six-month price cap. This means the situation could yet get worse for British growers.

Download the report

For more information:
NFU
www.nfuonline.com      

 

 


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