Tesco has not done enough to make good on the promises it made to farmers in the wake of the horsemeat scandal, and it’s time it finally lived up to its pledge to support British farmers.
That is the challenge NFU president Meurig Raymond will direct at Tesco CEO Dave Lewis at the retailer’s agm tomorrow (26 June).
He will call on Lewis to tell British farmers “exactly where we stand” two and a half years after former Tesco CEO Philip Clarke said at the 2013 NFU conference the supermarket would source more homegrown meat and embrace closer supply chains following Horsegate.
In an exclusive article for The Grocer to coincide with his appearance at the Tesco agm, Raymond will say progress on those commitments has not been “as swift as we would have liked” and it is now time for clarity. “Given the new structure and management at Tesco, the NFU and its members want to know: Do the aspirations to shorten supply chains, bring meat sourcing closer to home and develop equitable partnerships with its producers still stand? How far Tesco has come with those commitments made two years ago?”
While progress on British sourcing had been made in some areas – including fresh chicken – “ultimately, farmers on the ground have seen little shift in the structure and operation of supply chain that was alluded to by Tesco following the horsemeat scandal,” Raymond will say.
He will urge the retailer to set out a clear vision for its relationship with British producers and call on it to be particularly clear on its commitments to British lamb farmers, who are suffering from a lack of confidence and exposure to great price volatility.
“Scale means that Tesco is the largest customer of British farming, but I want it to re-establish itself as an industry leader in other ways,” Raymond will tell Tesco. “I want Tesco to reaffirm its commitments to British agriculture; I want it to set out its ambitions for its farming supply base for the coming years; and I want Tesco to work with my industry to build genuine trust and partnership.”
Horsegate commitments
At the NFU conference in 2013, Philip Clarke told farmers Tesco would be sourcing its meat “closer to home” after getting caught up in the horsemeat scandal. He also announced he would set up an independent panel to review Tesco’s supply chain practices, increase CCTV monitoring and appoint a group agriculture director. That post was taken up in July 2013 by former NFU staffer Tom Hind, who left Tesco earlier this year. The post of Tesco agriculture director has since been vacant.
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