Tesco and the German discounter Aldi will provide £26.4 million pounds additional support to the country’s struggling egg industry.
The UK egg industry is currently in crisis with shortages leading to rationing by major supermarkets including Tesco, Asda and Lidl.
Retailers have blamed the shortages on Britain’s largest ever outbreak of Avian flu, which has led to some birds being culled, and on an element of panic buying.
The support package will be paid to suppliers to cover the cost of handling, processing and egg production, including any increases in feed for farmers.
Dominic Morrey, Tesco Commercial Director for Fresh said:
“We know the British egg sector continues to face acute market conditions with input costs continuing to increase, and avian flu causing disruption and adding complexities to farming conditions and the supply chain. We’re pleased to continue our support for UK suppliers and producers, as well as provide reassurance to our customers that we will remain 100% British on all our shell eggs.”
“With five-year contracts with our suppliers now underway, and our well-established feed model in place, we hope the support we’re providing alleviates some of the pressure being felt and provides the industry with confidence and protection during these uncertain times.”
