Retailers are on the brink of increasing import programmes for several vegetable categories as the impact of price wars means decisions are increasingly prompted by “price not provenance”, FPJ has learned.
Margins, continuity of supply, weather conditions and beneficial exchange rates are said to be among the reasons why retailers may be increasingly looking abroad, with a potential impact on products including brassicas, mushrooms, tomatoes and berries.
One insider told FPJ that Poland is once again becoming an attractive prospect, as the zloty has edged upwards to 5.5 zloty to £1. “With the pressures from price wars, retailers are looking for margins and market share, and imports offer a way of doing this,” the source said. “The Polish zloty is becoming highly competitive again. The euro continues to weaken, and the Polish are allowing the zloty to drift along with it. This will affect several categories, including mushrooms, berries and tomatoes.”
The British brassica industry also fears a rise in imports. “A number of top-four supermarkets have put bigger programmes in Spain for cauliflower for next winter,” another insider said. “It’s very frustrating for growers. Lots of acres are being chopped up both in Lincolnshire and Cornwall – it’s very frustrating for people growing an English crop.” The source added that the fundamental problem was that crops were pushed forward following last year’s mild autumn, and retailers have sustained imports to ensure continuity in supply.
A spokesperson for Morrisons said: “As a keen supporter of British produce and British farming,our preference is to source from the UK and we will continue to do so where possible. During the times in the year when British produce is not available we will source from suppliers outside the UK.”
Sainsbury’s brassica buyer told FPJ they have yet to make plans for next winter, while Tesco was unavailable for comment at the time of writing.
Another source said brassica imports have increased in recent years, and in summer this “puts a ceiling on the UK market”. “If there is a price benefit to imports then retailers will take it. Price is the first driver rather than provenance now,” the source said. “It isn’t always cheaper from abroad – the UK is cheaper in winter, but imports can be more reliable as there isn’t as much risk from frost in Spain.”
NFU head of food chain Ruth Mason said: “We are keen to see retailers source British vegetables where in season and would encourage sourcing plans to be developed as early as possible, to ensure growers have stability in volumes.”
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