4.72ppl exceptional circumstances price increase for Sainsburys aligned – from 1st April

Posted on: 28/03/22

In response to extreme unrest amongst Sainsburys producers and the acceptance that its cost of production model is simply unable to keep pace with the unprecedented escalation in production costs, comes this desperately needed additional top up.

The 4.72ppl increase will put SDDG members liquid standard litre price to 38.62ppl which will be a welcome relief to its suppliers and put the aligned group back in the mix with the non aligned. Sainsburys have confirmed that going forward prices will be reviewed monthly until further notice and presumably until COP stabilises.

SDDG input data will continue to be predominantly based on Kite Consultancy input data and utilised on a monthly basis.

 

During April Sainsburys will notify farmers of the 1st May price as well as provide an indication of the farmgate June & July price.

Sainsburys are holding a SDDG farmer webinar to walk producers through the changes the retailer is making.  Yours truly is planning to “listen in”.

 

Hopefully this injection of additional money will divert Sainsburys farmers attention from inventive ways to exit the retailer pool including failing the next audit and non-compliance plus other schemes!

If Sainsburys ever wanted to exit the aligned model this was its perfect opportunity but it seems they have decided to stand by its farmers and introduce this emergency payment to cater for extreme circumstances faced by its farmers.  Furthermore, Sainsburys have agreed to review its model to “ensure that it remains fit for purpose”.