Over 200 lamb farmers sign two-year contracts with Tesco
More than 200 British lamb farmers have entered into direct, two-year contracts with Tesco; this is the first time a major UK retailer has offered such contracts to lamb producers.
The contracts, which have been offered to farmers in conjunction with Tesco’s principal processing partner St Merryn, follow a similar offer to beef farmers which was announced by Tesco in December last year.
They include a premium above-market price for lamb, with all farmers forming part of the Tesco Sustainable Lamb Group, which aims to develop and strengthen Tesco’s relationship with its farm suppliers.
Lambs will be born and reared on farms that form part of the Red Tractor Farm Assurance Scheme, which ensures high welfare and production standards. The 200 farms will help supply Tesco with lamb for its Finest range between April and December, when British lamb is best in season.
Working with St Merryn, Tesco will look to extend the contract offer to more farmers in the coming months.
Richard Marris, commercial director of fresh foods at Tesco, said: “The uptake of the contracts so far shows that sheep farmers are keen to work with us in building stronger, closer relationships between Tesco and British agriculture. We recognize that this is one measure of progress, but we’re excited to be working together with farmers to bring quality, fresh food from British farms to our customers. We hope these contracts will play an important part in giving sheep farmers the confidence they need to invest and plan for the future.”