NFU calls for 'exceptional market conditions' declaration amid egg crisis

The issues have led to egg shortages and rationing in retailers, with the egg sector warning that this could last beyond Christmas
The issues have led to egg shortages and rationing in retailers, with the egg sector warning that this could last beyond Christmas

The NFU has called for an 'exceptional market conditions' declaration to be made due to the severe disruption which egg producers and consumers are seeing.

The union said Defra must undertake an 'urgent investigation' into the egg supply chain and make the declaration after 'months' of issues.

An exceptional market conditions declaration under section 20 of the Agriculture Act 2020 would enable Defra to use its statutory powers to provide more support to egg producers.

The sector is currently seeing cost surges in energy and feed, coupled with the UK's largest and worst ever outbreak of bird flu.

The issues have led to egg shortages and rationing in retailers, with the egg sector warning that this could last beyond Christmas.

Supermarket chains have been blamed for failing to deliver a price boost to farmers struggling with costs.

The NFU said an investigation by Defra into whether an exceptional market conditions declaration should be made was now 'critical'.

Since 2019, the cost of feed raw materials has risen by 90%, as measured by the NFU feed raw material index. This doesn’t include the actual manufacturing cost of feed, which is energy intensive.

Meanwhile, egg prices as measured by Defra have only increased by 35% in comparison.

NFU President Minette Batters said some retailers were limiting UK consumers’ access to eggs, which was "surely a prima facie case of severe disturbance to an agricultural market".

“It is critical that Defra acts now to investigate the issues in the egg supply chain so that any declaration under section 20 can be made as soon as possible," she said.

"Energy price inflation and supply chain disruption have added to the worst outbreak in avian influenza yet. However, these pressures alone cannot explain empty shelves.

"Poultry and egg producers must have the confidence they need, working within a fair and transparent supply chain, with fair returns for farmers."