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Friday, October 18, 2024

Lidl shells out £1 billion to bolster British egg sector

Lidl has strenghtened its commitment to the British egg industry, injecting £1 billion over five years, as free-range sales continue to boost category growth.

Building on existing financial incentives, aimed at addressing the shortage of British free-range egg farms, the discounter has established a producer group of British free range egg farmers. The move follows its free-range egg sales skyrocketing by more than a third (34%) in the last year, reflecting growing consumer preference for higher welfare, locally produced eggs.

Members of the producer group benefit from long-term cost of production contracts, guaranteed minimum volumes, assistance in securing finance from banks, and additional funding to build new free-range sheds. Lidl said this helps ensure the long-term success of farms, as it works towards exclusively stocking British free-range eggs across all its stores nationally.

Lidl has also supported the industry further by becoming one of the first retailers to roll out white eggs across all stores in the UK, helping producers by utilising more productive and environmentally friendly birds. These white eggs are produced by white-feathered hens. They lay eggs for longer and consume less feed, whilst offering customers the same quality and nutritional value as traditional brown eggs.

Richard Bourns, Chief Commercial Officer at Lidl GB, said: “We are proud to support British farmers – they are critical to our business, and we wouldn’t be where we are today without them.”

He added: “Together with our producer groups, we’ve developed long-term cost of production contracts, providing farmers with the confidence and security they need to invest in their business. This commitment ensures a sustainable future for the industry and guarantees high-quality, affordable British eggs for our customers.”

Julia Brewster (pictured above), a small family-run farm owner and producer group member, shared her experience: “In less than a year, we’ve already seen the benefits of joining the producer group. Lidl has invested over £5 million into our business and with its support and commitment to buying all our eggs, we’ve gained the confidence to invest further. We’re expanding rapidly, quadrupling our output, and building multiple new sheds – setting us up for the future.”

 

 

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