UK discounter Lidl has announced a £1 billion investment into the British egg industry.
Lidl said it would “strengthen its commitment to the British egg industry” by injecting £1 billion over five years, with free range sales boosting category growth.
The discounter has established a producer group of British free range egg farmers after its free range egg sales rose by 34% in the last year, which it said highlighted the “growing consumer preference for higher welfare, locally produced eggs”.
It said members of the producer group would benefit from long-term cost of production contracts, guaranteed minimum volumes, assistance in securing finance from banks and additional funding to build new free range sheds, helping to “ensure the long-term success of farms”.
Richard Bourns, chief commercial officer at Lidl GB, commented: “We are proud to support British farmers – they are critical to our business, and we wouldn’t be where we are today without them. Together with our producer groups, we’ve developed long-term cost of production contracts, providing farmers with the confidence and security they need to invest in their business. This commitment ensures a sustainable future for the industry and guarantees high-quality, affordable British eggs for our customers.”
Julia Brewster, a small family-run farm owner and producer group member, said: “In less than a year, we’ve already seen the benefits of joining the producer group. Lidl has invested over £5 million into our business and with its support and commitment to buying all our eggs, we’ve gained the confidence to invest further. We’re expanding rapidly, quadrupling our output, and building multiple new sheds – setting us up for the future.”
White eggs sold in Lidl stores
Lidl also revealed that it had rolled out white eggs across all stores in the UK, which it said would help producers by “utilising more productive and environmentally friendly birds”.
It said the white eggs are produced by white-feathered hens, which lay eggs for longer and consume less feed.