'British Farming needs more support' as supply chain problems worsen
Labour shortages at meat processing plants have resulted in a surplus of 70,000 pigs on British farms.
Last updated 27th Aug 2021
The lack of workers means the animals are growing fat and are costing more money to feed.
The National Pig Association says the numbers are growing by 15,000 a week, and farmers are weeks away from having to put down healthy animals.
The association, which is seeking urgent action from Government, says 'major pork processors are cutting throughput, some by up to 25%, meaning producers are once again having to keep pigs on farm for longer than would usually be the case'.
A report adds: "The shortage is being driven by a combination of the new stricter rules on EU workers coming to the UK, furlough, the expansion of jobs in other sectors and the ‘pingdemic’ that has resulted in more than 600,000 people per week being told to isolate by the NHS Test and Trace app.
"Labour shortages are being felt across the entire pig sector, including on farms. Pork processing plants have been reporting absenteeism of 10-16% even before COVID-related absences, which the British Meat Processors Association (BMPA) said is now accounting for, in some cases, a further 5-10% of staff that are self-isolating."
Chief executive Zoe Davies added: “In some plants, it is reaching critical stage, with production being cut by a quarter and pigs being ‘rolled’ into the following week, meaning backlogs are starting to build on farms.
“We are hearing that this is not just a short-term issue resulting from COVID self-isolation. EU staff have gone home and are not coming back or have gone to find alternative employment.
“If this continues, it will only be a matter of weeks before we see serious problems on farms. This is the last thing our members need as they are only just getting over the last backlog, which saw more than 100,000 pigs backed up on farm, and are currently coping with record feed costs, so are already struggling to find funds to keep feeding pigs.
“The frustration is that demand for British pork is currently strong, but pork plants are struggling to meet it because they do not have enough people to do the work.
“This will lead to empty retail shelves, which is likely to result in more imports at a time when consumers are seeking great British pork more than ever before."
It comes as in a new cross-industry report, the UK food and drink sector is calling for a 12-month Covid-19 Recovery Visa 'to help alleviate the workforce shortages that are causing serious disruption across the whole of the supply chain and significantly increasing the cost of getting food to the public'.
NFU Vice President Tom Bradshaw said: “For the past 18 months food and farming businesses have been working hard to keep shelves and fridges full of nutritious and affordable food, but as this report demonstrates, businesses throughout the supply chain in a wide variety of roles are really feeling the impacts of the workforce shortages.
“At the very start of the supply chain, farm businesses are feeling the pressure. For example, horticulture farms are struggling to find the workforce to pick and pack the nation’s fruit and veg, with some labour providers seeing a 34% shortfall in recruitment.
“Farm businesses have done all they can to recruit staff domestically, but even increasingly competitive wages have had little impact because the labour pool is so limited – instead only adding to growing production costs.
“It is simplistic to argue that the end of furlough will see many more people meeting this shortfall, but furloughed workers are concentrated in urban areas and not where many agri-food roles are located. A solution to this crisis will need the right people with the right skills and training available in rural areas where many roles are based.
“A short term Covid Recovery Visa, alongside a permanent Seasonal Workers Scheme, would be an effective and, frankly, vital route to help the pressing needs of the industry today. It would also give us time to invest in the skills and recruitment of our domestic workforce, helping to provide long-term stability so we can recruit the people we need to continue to deliver quality, nutritious and affordable food for the nation.”
The Food and Drink Federation’s Chief Executive, Ian Wright CBE, said: “This really authoritative report sets out in stark detail the labour and skills shortages currently facing the food supply chain. Drawing on a wide range of evidence the report illustrates the breadth and scale of the issues confronting the industry. The report makes it crystal clear that today’s labour shortages are caused by a multitude of structural factors beyond those created by Covid-19 and the end of the Brexit transition period.
“The recommendations set out within this report, including the Covid Recovery Visa and measures to support domestic training and skills development, the adoption of new technologies and career promotion, provide industry and the Government with highly practical solutions. They will ensure that the food supply chain continues to thrive with a strong and skilled workforce. However, it is also evident that without fast action the labour challenges will continue. If they do, we can expect unwelcome consequences such as reduced choice and availability for consumers, increased prices, and reduced growth across the domestic food chain.”
Nick Allen, Chief Executive of the British Meat Processors Association, said: “The meat industry has been severely impacted by the current labour crisis, which is not only resulting in shortages in shops but is also beginning to have increasing upstream impacts on farms.
“We have welcomed the opportunity to join with other sectors in the food industry to pull together a summary of the massive challenges we are all facing and to offer some immediate and practical solutions to government.”
Dr Judith Bryans, Chief Executive of Dairy UK, commented: “The food and drink sector is the bedrock of food security in the UK as well as being a major contributor to the economy. The food sector is investing into the skills and recruitment of its workforce and taking all the measures it can to address the many issues raised in this report. However, we are now experiencing significant difficulties in terms of labour shortages. One very practical example is the disruption in the delivery of food across the UK due to the serious shortage of HGV drivers.
“This report lays out clearly what Government support and interventions are now essential for the food and drink sector to address these issues and avoid a future of continued disruption. We’d strongly urge the Government to act upon the recommendations within this report.”
Richard Harrow, chief executive of the British Frozen Food Federation, said: “Labour shortages throughout the food supply chain are creating a ‘perfect storm’ of increasing costs for our members. Whilst the long-term solution is to train more UK nationals, we will only avoid further disruption to food supplies and inflationary cost increases by taking the temporary visa measures this report is recommending.”
For more about the National Pig Association click here
For more about the joint industry Covid Recovery Visa calls click here