Price of British farm produce will have to rise

The price of meat, milk and other British farm products will have to rise to reflect the environmental cost of producing them, a Government study has concluded.

A Cabinet Office review of food policies suggested that farmers and their customers will have to pay a "green price" on farm goods that generate large amounts of greenhouse gases like methane and nitrous oxide.

Methane is produced by the digestive processes of livestock, and nitrous oxide is released from many agricultural fertilisers.

Scientists say both contribute to global warming along with carbon dioxide, and the report estimates that farming accounts for as much as 12 per cent of all greenhouse gas emissions.

Current emissions trading systems apply only to carbon dioxide, and the Cabinet Office study says methane and nitrous oxide should also carry a financial price reflecting their environmental impact.