Morrisons has launched a new trial to support farmers by underwriting 100% of the costs associated with growing crops.
This looks to help British farmers mitigate cost and weather pressures, including field rent and fertiliser cost, and gives them greater financial security.
Crops are currently being grown on three potato farms and one carrot farm, with the first produce due to hit shelves before the end of the year and into 2024.
If the trial is successful, Morrisons hopes to roll out the scheme to more farms later next year.
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Morrisons senior buying manager for root vegetables, Gareth Cosford, said: “As British farming’s biggest direct customer we understand the impact that higher costs are continuing to have on farmers.
“Therefore our trial scheme allows us to take all the risk associated with growing the crop away from our farmers and continue to grow the best quality British produce that our customers know and love.”
Andrew Nash, who is the director of one of the participating farms, Naish Farms Ltd, which grows potatoes for the supermarket, added that the scheme will “cushion us from the associated risks and provide supply security so that we can focus on growing the very best potatoes for their customers”.
“Morrisons already buys our whole crop of potatoes from us, taking the top-quality and also misshapen or oversized ones and making them available to customers as part of their naturally wonky range to maximise our return and offering the best value to their customers.”
In 2015, Morrisons launched its Naturally Wonky fruit and veg, which sees the grocer buying whole crops and picking out any goods that are fine to eat, but have an unusal shape or size.
Customers can purchase these products in stores at a lower price, with 27,000 tonnes of fruit and vegetables sold this way last year.
