Skip to content
Search
AI Powered
Latest Stories

Supply of chicken and turkey is under threat, 2 Sisters warns

2 Sisters Food Group, one of Britain’s biggest food producers, has warned of empty shelves and panic buying if critical issues threatening UK food supply are not addressed immediately.

Ranjit Singh Boparan, founder and president at 2 Sisters, said the current challenges facing the sector are like no other he has seen in his 27 years as a food entrepreneur.


“I have seen lots of change over the years – but nothing compares to now. The use of the term ‘perfect storm’ has become a cliché, but never has that been a truer phase to use. No-one could possibly have predicted that this toxic cocktail would come together at this time,” he said.

While the issues started with the pandemic, Boparan noted that the operating environment has deteriorated 'so profoundly' since May this year, which could lead to major food shortages.

“Supply of chicken and turkey is under threat. Our retail partners and the wider supply chain have worked together closer than ever before to ensure we retain food supply and this is of huge credit to everyone. But we are at crisis point,” he added.

Last week, the British Meat Processors’ Association (BMPA) has warned that the country’s food supply chains are “right on the edge of failing” as absence related to Covid-19 has aggravated a critical shortage of labour. The meat industry body said the shortage of skills was so critical, some plants had reported vacancies of 10 per cent to 16 per cent of permanent positions, discounting the impact of the pandemic.

“On top of the underlying worker shortage, we’re also hearing from some members that between 5 per cent and 10 per cent of their workforce have been 'pinged' by the (health service) app and asked to self-isolate,” BMPA chief executive Nick Allen said.

Boparan concurred and sought urgent action and more support from the government.

“We are operating in a framework that’s complete madness and the government needs calling out for sticking their heads in the sand. ‘Pingdemic’ is not the issue for us. There’s fundamental structural changes going on here that need sorting,” he said.

“The government needs to act immediately if it wants to avoid the most serious food shortages that this country has seen in over 75 years. Not acting would be irresponsible.”

2 Sisters said it has seen, on average, 15 per cent labour shortages for its 16,000 workforce this year as Brexit has acutely reduced available workers across the food sector. In addition, the company is also experiencing unprecedented wage inflation across its supply chain in skilled roles. Ingredient inflation is another factor that caused major hit to the business, along with the heavy investment to keep colleagues safe in the backdrop of Covid-19 and the new complex regime for import and export post Brexit.

“These are unique, era-defining challenges which we started to tackle head on last year. But they’ve all come to a head in the past 12 weeks. Clearly these have brought continued and intensive pressure on our business, just like they have elsewhere,” Boparan said.

“This cannot be sustained indefinitely. The critical labour issue alone means we walk a tightrope every week at the moment. We’re just about coping, but I can see if no support is forthcoming – and urgently – from the government, then shelves will be empty, food waste will rocket simply because it cannot be processed, or delivered, and the shortages we saw last year will be peanuts in comparison to what could come.”

Boparan has called on the Government to act now to support the sector given its unprecedented challenges.

He added: “Entry level – that’s broadly unskilled - roles (requiring a Level 2 qualification) are where the sector is facing greatest difficulty. Poultry workers should be exempt from this and the government needs to think again on the entry thresholds for salaries and skills.

“What needs to happen is an entry route should be plotted so workers face minimal administrative hurdles to get through to support businesses like ours.

“We also need recognition from the entire supply chain – that’s our suppliers, customers and ultimately the end consumer – that without the correct level of support, we are potentially facing a food crisis in the UK like we’ve never seen before.”

Meanwhile, 2 Sisters has announced a £7.5m investment in new technology and upgrades at the group’s UK Poultry site in Sandycroft, creating more than 200 new jobs.

The site, based on Sandycroft Industrial Estate, processes one million birds per week and is one of the biggest sites within 2 Sisters employing more than 1300 colleagues. The investment has enabled the installation of new technology including automated packing lines, new packaging machines, upgrading of cutting lines to increase capacity and the introduction of X-ray bone detection machinery for fillet production.

More for you

Volumatic welcomes new FCA rules safeguarding access to cash

Volumatic welcomes new FCA rules safeguarding access to cash

As industry leaders is cash handling, Volumatic has long supported the use of cash and the importance of maintaining access to cash for both consumers and businesses. The company recognises the importance of the new set of rules created by the Financial Conduct Authority (FCA) two months ago, to safeguard access to cash for businesses and consumers across the UK.

Since introduction, the new rules are intended to ensure that individuals and businesses who rely on cash can continue to access it and the outcome has already sparked the creation of 15 new banking hubs across the UK, including one in Scotland, with many more to follow.

Keep ReadingShow less
Jisp unveils new NPD service

Jisp unveils new NPD service

Retail technology company Jisp has launched an NPD service as part of its new Direct to Retailer business unit.

The new NPD service will allow brands to launch or trial new products in a guaranteed number of convenience store locations, with on the ground review of execution by Jisp’s retail growth manager team, and performance data and insights deliverable through its scanning technology and back-office systems.

Keep ReadingShow less
Tesco launches price cuts in Express convenience stores
File image of Tesco Express

Tesco launches price cuts in Express convenience stores

Tesco is slashing the price of more than 222 own-brand and branded products in its Express convenience stores.

Essentials including milk, bread, pasta and coffee are included in the lines which have been reduced in price by an average of more than 10 per cent at Tesco Express stores. The retail giant has made more than 2,800 price cuts across stores in recent months. With 2,048 of convenience stores at the end of the 2023-24 financial year, Tesco aims to benefit hundreds of thousands of customers from the cheaper deals.

Keep ReadingShow less
vape and cigarette
Photo: iStock

One in five ex-smokers in England now vape, study finds


Summary
1. One in five people who have successfully quit smoking in England currently vape, with an estimated 2.2 million individuals using e-cigarettes as a smoking cessation tool.
2. The increase in vaping among ex-smokers is largely driven by the use of e-cigarettes in quit attempts, with a rise in vaping uptake among people who had previously quit smoking for many years before taking up vaping.
3. While vaping may be a less harmful option compared to smoking, there are concerns about the potential long-term implications of vaping on relapse risk and nicotine addiction. Further research is needed to assess the impact of vaping on smoking cessation outcomes.


Keep ReadingShow less
Bira engages with Treasury on Budget fallout, business rate reform
(Photo by Christopher Furlong/Getty Images)
Getty Images

Bira engages with Treasury on Budget fallout, business rate reform

Independent retailers association Bira has held a meeting with members of the Treasury team to discuss concerns following its robust response to the Government’s recent Budget announcement.

The Budget, labelled by Bira as "devastating" for independent retailers, was met with widespread indignation from Bira members.

Keep ReadingShow less