Supermarkets promise a lot and deliver little for homegrown meat producers

When several large UK retailers pledged to only sell UK lamb over the summer and autumn, the news was celebrated by farmers. However, in January Aldi announced that it would no longer be stocking exclusively British lamb, reneging on the promise it had made. Aldi is following in the footsteps of Asda which in January 2022 also backed out of a commitment to stock exclusively British beef. However, with increasing cost of inputs, an overabundance of lamb on British Farms, and the news that prices for British lamb are down by 13% compared to this time last year, National Sheep Association (NSA) chief executive, Phil Stocker says now is the time to back British produce.

Whilst Aldi has assured customers that the majority of its lamb will be from British farmers, the stocking of foreign meats from countries such as New Zealand, is reportedly to provide customers with an affordable option during the ongoing cost-of-living crisis. Other reasons why retailers may choose to stock New Zealand grown lamb is due to seasonal availability, demand and quality regulations. However, AHDB has predicted that UK lamb production will be about 8-9% higher than in 2022.

Scepticism would suggest retailers are willing to forego higher quality local products for inferior cheaper alternatives, whilst using the “out of season” excuse as a get out of jail free card, whilst at the same time increasing food miles and carbon emissions. This would not be the first time that cost has been the key driver behind sourcing stock from overseas. In 2020, Irish beef was filling the shelves in Scottish supermarkets because, during the pandemic, the Irish government was paying a COVID19 subsidy to the beef sector. This allowed Scottish retailers to buy it inexpensively, yet sell it at the market price, bolstering profit margins. Lest we not forget that during this period, the UK government had given retailers millions in business rates relief. This, coupled with the lockdowninduced demise of the hospitality sector and subsequent reliance on supermarkets, led to recordbreaking profits.

Despite Aldi’s deviation from stocking exclusively home-grown and climate-friendly lamb, retailers such as Waitrose, Morrisons and the Co-op are upholding their commitment to British farmers. This is very welcome support - long may it continue. n

Cameron Finnie 07824 591 262 cameron.finnie@galbraithgroup.com