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UK fresh produce faces inflation and weather pressures

Fresh fruit and vegetables in the UK are facing pressure as global food inflation continues to influence the supply chain. Rising input costs, labour shortages, and unpredictable weather are affecting margins and availability for growers and suppliers.

Although food inflation has eased slightly since its peak in 2023, the fresh produce sector is still exposed to cost pressures. Fertiliser, energy, and transport prices remain volatile, while seasonal labour has become more expensive. Weather disruptions across Europe have limited the supply of crops such as lettuce, peppers, and tomatoes.

Analysts point out that the short shelf life and fragile logistics of fresh produce leave the sector more vulnerable than processed goods. Without the ability to stockpile or store produce for long periods, disruptions in yields or transport quickly impact prices.

Retailers and suppliers are working to manage these pressures, but the balance between affordability for consumers and fair returns for growers remains difficult. Supermarkets have absorbed some costs to keep prices down, but this has placed additional pressure on producer margins at a time when investment in technology and efficiency is needed.

Weather extremes have added to the strain. Warm and dry conditions in southern Europe earlier in the year reduced salad and soft fruit yields, while heavy rainfall in the UK and Ireland disrupted field vegetable planting. These conditions have led to occasional gaps and substitutions on store shelves, alongside calls for greater domestic production capacity.

Economists observe that while overall inflation is stabilising, food price volatility is likely to continue into 2026. Smaller British farms already operating with tight margins could reduce production if costs remain high, raising the risk of shortages.

Producers are turning to innovation as one way to mitigate risks. Projects in vertical farming, greenhouses powered by renewable energy, and data-driven growing systems are being developed to reduce reliance on imported inputs and stabilise yields.

The next 12 months will indicate whether the UK fresh produce sector can adapt sufficiently to remain competitive while maintaining a stable supply for consumers.

Source: FreshTalkDaily

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