Supermarket giant Morrisons has vowed to spend more than £1.6 billion with British farmers this year, a move aimed at bolstering domestic food production amid rising input costs and market volatility.
The retailer said the investment would support over 2500 UK farmers supplying fruit, vegetables, meat, fish, dairy, and eggs through long-term agreements designed to offer greater certainty.
Rami Baitiéh, chief executive of Morrisons, said: “Now, more than ever, at a time when farming is under pressure, we stand shoulder to shoulder with British farmers, providing them with long term financial stability and practical support.”
He added: “That is why we are committing to invest £1.6 billion with British farms this year.”
The announcement comes as many producers face uncertainty around costs and profitability, with supermarkets under pressure to demonstrate that sourcing pledges translate into real farmgate returns.
Morrisons has introduced a shared farming agreement for potato growers that underwrites 100% of growing costs, aiming to shield producers from seasonal and weather-related pressures.
Farming minister Dame Angela Eagle welcomed the move, calling Morrisons a 'steadfast and consistent partner for British agriculture' and adding that long-term partnerships were helping sustainable food production 'to grow and prosper'.
Industry groups stress that long-term contracts provide real security only if terms keep pace with rising production costs, while many farmers continue to push for stronger margin guarantees.
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