Tesco invites sheep farmers to take part in 'cost of production model for lamb' trial

Tesco is inviting British sheep farmers from across its supply base to take part in a trial of an industry first, cost of production model for lamb.

If successful, Tesco would become the first major UK supermarket to implement such a model.

Data will be collected over a 12 month period to help the retailer assess the cost of production across a variety of production systems. Independent sheep consultants will select farmers who will form the core trial group and will also collate and evaluate the data. Successful applicants will be chosen based on seasonality, production type, geographic location, and farm size.

Tesco will also look to help foster and mentor fresh farming talent, with provision being made to ensure that at least 25 per cent of the group will represent young farmers who are under the age of 35.

Tesco Commercial Director for Fresh Food, Matt Simister said: "Tesco has a long history of supporting UK agriculture and we recognise the quality, expertise and commitment of British lamb farmers to provide the best possible produce for customers. We work hard to have an open and transparent dialogue with all of our farmers and producers of British lamb, as well as the wider farming community, so that together we can deliver a truly sustainable farming industry."

Tesco says it will "continue to look at a range of opportunities to improve supply chain efficiencies across the lamb industry, to maximise productivity and help British lamb producers manage their risks more effectively."

Tesco lamb farmers interested in applying for the trial must submit applications by the end of Thursday 25th February 2016.

During the course of the 12 month trial, farmers will be paid a price based on historic industry cost of production data.