UK farm unions warn on rising costs amid global instability
Leaders from the UK’s four main farming unions gathered in Newry last week for urgent talks on the mounting pressures facing agriculture.
Representatives from the National Farmers’ Union, NFU Scotland, the Ulster Farmers’ Union and NFU Cymru issued a joint statement warning that ongoing tensions in the Middle East are fuelling volatility in energy markets, with direct consequences for farm businesses.
Rising uncertainty around the cost and availability of essentials such as red diesel and fertiliser is making day-to-day decision-making increasingly difficult.
The union leaders said: “Farm businesses across the UK are facing increasing pressure as a result of global events beyond their control. Volatility in fuel and fertiliser markets is creating real uncertainty at farm level, with implications for food production, supply chains and ultimately consumers.
“Of particular concern is the lack of transparency in how prices for key agricultural inputs are set. Many farmers are being asked to commit to purchases without clear or timely information, making it extremely difficult to plan and manage already tight margins.
“We welcome moves by regulators to increase monitoring of fuel and fertiliser markets, but more must be done to ensure fairness, transparency and accountability across the supply chain.”
The organisations are urging governments across the UK to respond in a coordinated way. Key priorities include improving clarity around how red diesel and fertiliser prices are determined, alongside providing more frequent and accessible market data. They also stress the need for stronger oversight of supply chains to ensure fair practices and greater resilience.
In addition, the unions are calling for long-term measures to support the sector, including clearer direction on future policy. This includes the rollout of the Carbon Border Adjustment Mechanism (CBAM) and how it may influence the cost of inputs like fertiliser.
The statement continued: “Global political tensions are increasingly exposing the vulnerability of UK food production to external shocks. It is essential that governments work with the industry to build resilience and ensure that farmers are not left bearing disproportionate risk.
“A stable and sustainable farming sector is essential for the UK’s food security, economic stability and environmental goals, but this can only be achieved if farm businesses are profitable.
“Profitability underpins everything. We are ready to collaborate constructively with governments to tackle both the immediate challenges and the longer-term implications of this crisis.”
