UFU calls on retailers to recognise unprecedented cost pressures on farmers

The Ulster Farmers' Union (UFU) has today called on major retailers to urgently engage with the agricultural sector and ensure that the ongoing rise in production costs is fairly reflected across the supply chain.

The call comes as new figures confirm consumer prices index has risen to 3.3% in the year to March, driven largely by sharp increases in fuel and energy costs linked to global instability. Farmers are facing the impact of these increased costs directly during the spring peak period for fuel and fertiliser use, with farm input costs rising by significantly more than the headline inflation rate creating immediate cashflow pressures.

UFU President William Irvine said, "Farmers across Northern Ireland are facing sustained and, in many cases, unsustainable increases in the cost of doing business. Fuel prices alone have risen sharply in recent months, and this is having a direct knock-on effect across the entire supply chain from field to fork."

He continued, "We know that it can take several months for cost increases to filter through to retail, but the reality is that primary producers are carrying these costs now. They cannot continue to absorb this level of pressure indefinitely."

Mr Irvine said, "There is a growing disconnect between what is happening on farm and what is being reflected in the marketplace. While retailers understandably want to protect consumers, this must not come at the expense of primary producers who are already operating on extremely tight margins."

The UFU also warned that external shocks, including rising fuel and fertiliser costs linked to global events, are already influencing production decisions on farms and could impact future supply. "Food security must not be taken for granted. A sustainable and resilient food system depends on viable farm businesses. If farmers are not receiving a fair return, it will ultimately affect production levels and increase reliance on imports further undermining food security and leaving citizens increasingly exposed to global economic disruption," said Mr Irvine.

The Union confirmed that it has written to the main retailers seeking urgent meetings to discuss the current situation and explore how the supply chain can respond collectively. "We are asking retailers to engage constructively with us. Transparency and fairness across the supply chain are essential to ensure that cost pressures are shared appropriately,"

Mr Irvine added "With Balmoral Show fast approaching, this presents an ideal opportunity for direct engagement. We would welcome the chance to meet retailers face-to-face and have a practical discussion on how we can move forward together."

The UFU emphasised that farmers are committed to continuing to produce high-quality, safe and sustainable food, but this must be supported by a supply chain that recognises the realities of production.

Mr Irvine concluded, "This is about fairness. Farmers cannot continue to shoulder rising costs alone. If we want to protect local food production and maintain consumer choice, then the entire supply chain must play its part."