In the context of climate change, look at future crop growing. Links to research and potentially
new crops where we use less water.
Look at the value chain and how we can add more value to produce locally. Make us regionally
more secure and sustainable.
Food system at one level is broken. Diets we are eating are over processed. We have to keep
pace as we are using ingredients that we have to source from around the world given are not
producing them here in UK. Need to rethink what crops we grow, and what the supply chains
look like.
Pig sector in decline, sows are down 13%, we are in a scenario where long-established pig
businesses have been sold in this region.
There is a shift to plant-based food. Need to look fundamentally at what we need to produce,
for example we are growing nowhere near enough pulses to serve this market.
Tomato production has increased by 20% due to glasshouses being built.
Hidden growth and development happening. Eating lots of potato, importing lots from Germany
and Holland, due to poor freezing capacity here in the UK.
The Department for International Trade Plant Science for Nutrition High Potential Opportunity is
important for our region. We must build on this expertise.
We need to educate the British public as to what food is healthy and what is not, whilst looking
at the long-term implications around sustainability.
Energy costs are seeing people change the crops they grow due to high costs. Government
help does not address crops being grown for next year, sits outside of the 6 months help as all
cutting/processing sits outside of the 6 months and this is typically when you need to use
energy.
Need to look at power and fuel supplies. Some businesses are using diesel generators on-site
as it is cheaper. This is not what is wanted.
Current situation around water for the sector is adding to barriers rather than building business
resilience, this needs to be more flexible with smarter regulation that can control short term
shortages and distribution.
2. What is the outlook for UK food price inflation in the short and medium term? What
policy interventions should the Government consider to manage these pressures?
Feedback from Industry Council members:
With regards to water and the precautionary and habitats regulation, all licenses are being
reviewed (2024) by the Environment Agency – until the precautionary principle is reviewed
within the habitats regulation, there is no help for farmers to get their licenses extended.
Environmental assessments are now in place prior to planning which make things challenging.
A Buying Habit Retail Report for consumers came out which shows where consumers are
shopping, it is an interesting insight.
Clients are dipping into their reserves – there is an increase in borrowing with some banks
being more kind with lending than others.
High input costs may lead to lower yields. Knock on effect. Rising costs in livestock feed will be
included too as this is all linked. Need to account for this in the response.
Restructuring how contracts are being put together would be helpful, needs to be addressed
via index linking. This needs to be considered.
Review of discussion:
Must find the right balance in the response – what can businesses do for themselves and what
government intervention is needed.
Be aware of the unintended consequences – short term vs long term goals that might be
missed due to short term intervention.
Public education around food and how to use (cook/consume) future crops/ingredients.