Organic vegetable box delivery company Riverford has hiked its prices by 5.6% on average to support producers as production costs remain high.
Earlier this month, consumers were notified of the price rise in a newsletter written by founder Guy Singh-Watson, The Grocer reported.
This comes as the second price rise in a year, as Riverford announced a 5% increase in September 2022.
Subscribe to Grocery Gazette for free
Sign up here to get the latest grocery and food news each morning
The letter titled “the inevitable price update” explained that as labour input costs have soared, it “would be fantasy not to expect growers to recoup at least some of that in price increases”.
“Somehow we must start rewarding people for doing useful stuff.”
Riverford commercial director Lucinda Turner told The Grocer that the average 5.6% price rise represents the lowest increase that the company could offer, adding that some items have remained the same price, while others have instead decreased.
In May, the company announced that it will be 100% owned by staff after Singh-Watson agreed to sell his remaining 23% stake for almost £10m.
The 63-year-old farmer will continue to be involved in Riverford as a trustee, non-executive director and spokesperson, while handing over full control to its 900 staff who will each receive an annual profit share.
