Retailers commit further financial support to egg industry
Following the news that some supermarkets were having to put buying limits on the number of egg cartons customers could buy, two major retailers have offered financial support to the egg industry.
Reports of egg shortages came amid the rising costs being faced by UK poultry farmers and an outbreak of avian flu, culminating in the supply of eggs being affected.
Earlier this month, it was reported that stores including Asda and Lidl had put a limit on the number of boxes of eggs customers could purchase in their stores – Asda reportedly limited this to two boxes per customer, while Lidl limited the number to three boxes per customer.
However, this week it was announced that Tesco and Aldi have pledged a combined £26.4m of additional support to the egg industry. Tesco said its commitment to provide a further £13.9m of support until March next year takes its total support to £27.5m since March 2022.
It is understood the funds will be paid to suppliers to cover the costs of handling, processing and egg production, which includes any increases in feed prices for farmers.
Similarly, Aldi announced it would be contributing another £12.5m by March 2023, which takes its total support for the year to £38m.
Both Tesco and Aldi pledged to work with suppliers to ensure the investment is passed to those who need it most “as quickly as possible”.
Harold Richmond, Agricultural Director at Skea Eggs, welcomed the support package.
“At a time when egg producers are facing huge inflation-driven cost increases, with an overhanging threat of avian influenza to their businesses, Skea Eggs very much welcomes Tesco’s support package which will help support producers now and over the coming months,” said Mr Richmond.
“We must continue to work together to ensure we have a sustainable, secure supply base now and in the future,” he added.