Smaller Farmers Supermarket Prices
2020-09-10
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Q1
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Concerns raised about Sainsbury's threatening to terminate contracts with small dairy farmers in West Dorset if they refuse to sell calves.
What steps is the Department taking to ensure that small farmers obtain a fair price from supermarkets for their produce? The supermarket Sainsbury's is threatening to tear up contracts of small dairy farmers supplying milk, demanding a percentage of their calves. Does George Eustice agree this is an abuse of dominant position and will he support defending small farmers?
I am happy to meet my hon. Friend to discuss this issue further. The groceries code adjudicator is already in place to regulate contracts and prevent certain practices, but through the Agriculture Bill we can introduce statutory codes of contractual practice which will stipulate further requirements in contracts.
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