UK discounter Lidl GB has announced an investment of £500 million into the pork sector to ensure the continued production of quality British pork.
The investment comes following a previous £14 million pork sector injection in 2022 when the market price fell below farmer cost of production. As part of its British pork commitment, Lidl has moved pork producers to an open-book model that includes cost of production with guaranteed farmer margins.
Lidl has also launched a pork producer group "to aid industry collaboration", while investing in farm initiatives to decrease emissions and fund research into welfare enhancements. Research will look at mimicking the natural behaviours of pigs, such as rooting, sniffing and chewing, in turn attempting to improve their overall wellbeing.
As part of the three-pronged approach and through collaborative efforts, Lidl is investing in assessing the carbon footprint of all the farms in its pork producer group and subsequently putting plans in place to reduce these emissions. Alongside this, it will also be investing over £250,000 in at-risk GB catchments to support river health and water quality, while working to achieve deforestation-free soy sourcing by the end of 2025.
Commenting on the investment, National Pig Association (NPA) chief executive Lizzie Wilson said: "The NPA welcomes the introduction of Lidl's pork producer contracts and its continued commitment to ensuring a sustainable domestic supply of British pork."
Lidl GB chief commercial officer Richard Bourns said: "This latest investment underlines our commitment to British producers, animal welfare and the environment. Acknowledging the challenges faced by the industry and its farmers in recent years, we recognised the need for intervention and the development of a bespoke solution addressing these challenges.
"That's why we've been working closely with our suppliers and partners, including major partners such as Cranswick and Pilgrim's, to ensure we understand the intricacies of this supply chain and are well positioned to deliver impactful change.
"With our pork market share significantly greater than our broader market share, it highlights the substantial influence we have in this area and we're embracing our responsibility to drive positive change. Our new pork standard is all about supporting our rural communities and ensuring the resilience of the sector while providing customers with high-quality British pork at affordable prices."
Pork producers partner with Lidl
Rick Buckle, managing director farms - pork division at Cranswick Plc, said: "It's great to see Lidl's continued commitment to British pig farming and we're thrilled to be working with them on its new standard.
"Together, we've already commenced ground-breaking research trials aimed at enhancing pig welfare and are excited to work in partnership with Lidl for years to come."
Fábio Brancher, operations director for agriculture at Pilgrim's Europe, said: "With Lidl's support, this collaborative approach will provide crucial stability for our third-party farmers, shielding them from market volatility and aiding their recovery from recent challenges.
"This next step with Lidl underscores our commitment to supporting British farmers and fostering a sustainable suture for the sector, and we look forward to developing our relationship further."
The move is part of Lidl's £15 billion investment into the British food industry between FY20-25, which Lidl said is "set to surpass initial projections by £2 billion."
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