YORKSHIRE farmers have sent a stark warning to supermarkets over a price war on staple produce.
Latest figures from Defra show that over the last two decades, the proportion of the retail price paid to primary producers has fallen by as much as 37 per cent.
Russell Toothill, West Riding county chairman of the National Farmers' Union said: "L
ike everyone else at the moment, we are facing huge hikes in our costs, with energy bills up 80-90 per cent, fertiliser up 120 per cent and feed prices up nearly 40 per cent.
"The result is that any price increases have already been wiped out, so there is categorically no scope for retailers to pass any price cuts back down the line.
"If they want to sell products for less, cuts will have to come from their own profit margin or from elsewhere within the supply chain."
Last year 10 per cent of the price of a white sliced loaf went to arable farmers compared to 23 per cent in 1988.
Beef farmers received 45 per cent of the retail price compared to 67 per cent in 1988 and sheep farmers got 41 per cent compared to 65 per cent.
Pig farmers' prices have been squeezed the most with their share of the retail price falling from 57 per cent to 36 per cent and dairy farmers have also seen their share drop from 38 to 35 per cent.
"Supermarkets have responded to fears that an ongoing lack of profitability, particularly for livestock and dairy farmers, could threaten future supplies of British produce," said Mr Toothill.
"It would indeed be a tragedy if this work was jeopardised by a battle to maintain retail market share.
"Farmers want to work with the major retailers.
"After all, they are our largest customer, but for once they must realise that the cost of a price war cannot be borne by their suppliers.
"It's something they will have to take responsibility for," said Mr Toothill.
The full article contains 341 words and appears in Evening Courier newspaper.
