Sainsbury's has announced a new 'industry first' development group to support its egg suppliers, which total over 100 farmers.
The Sainsbury’s Egg Group - launching next month - will be in collaboration with the retailer’s three main egg packers.
Through this, the supermarket said it would take 'a leadership position' on pay for farmers by pledging to always pay the cost of production or above for eggs.
It also aims to provide financial reassurance in a volatile market, giving farmers the chance to invest in future business advancements.
Sainsbury's has worked in a similar way with its Dairy Development Group, which launched 15 years ago.
The retailer said the new egg group would also spearhead better communication and alignment on decisions, driving improvement for both farmers and customers.
One of the requests for those signing up to the group is a commitment to carbon reduction in their production and an annual carbon footprint assessment.
According to Sainsbury's, many farmers involved have already started making progress themselves such as reducing soy in feed and replacing with alternatives like maize.
Gavin Hodgson, director of agriculture at the retailer, said the egg group would support farmers, helping them shift to more sustainable and resilient production.
He said: “We know how important eggs are for our customers but we’re also aware of the challenges facing egg farmers, such as increased production costs and sustainability targets.
“We’re proud of our history in innovating and supporting the egg industry and our strong relationships with suppliers is the key to making change.
"Last year we moved from one year to five year partnerships with our egg supply base to give them confidence in their businesses."
It comes after Aldi announced that it had reached its commitment to sell 100% cage-free eggs more than a year ahead of schedule.
The retailer said it had been working with its suppliers to move to higher hen welfare, with all its UK stores now only selling cage-free eggs.