Research: British berry producers are facing financial difficulties and the threat of closure by 2026.

The British Berry Growers (BBG), an organization representing 95% of all commercial berry producers in the UK, conducted a new study revealing that nearly half of surveyed British berry producers claim they are no longer making a profit. More than half rate their financial situation as poor or extremely poor. 37% are considering reducing production or exiting the industry due to rising costs and low supermarket prices, as reported by Food Ingredients First.

The BBG study also found that 84% of all respondents believe they can only withstand two years or less without making a profit. If these issues remain unresolved, four out of ten berry farms could close by the end of 2026.

Almost 90% of producers stated they stopped making a profit after 2020 due to the increasing production costs. Over the past four years, labor, fertilizers, packaging, and transportation have increased by £836 per ton of British strawberries, worsening the position of berry producers. More than half of the investment in berry production is labor costs, which have significantly risen over the past four years. The same applies to raspberries, blackberries, and blueberries.

BBG Chairman Nick Marston says, "Supermarkets are starting to take note. They understand that berry producers need fair profits to cover the growing production costs. Otherwise, they will simply stop growing berries. Relationships with supermarkets have suffered due to lack of support in recent years - 39% of our producers say their relationships with retailers have never been worse. We must take this survey as a wake-up call and take urgent action. The future of the British berry sector hangs in the balance. We need support from retailers in the form of fair profit, but we also need government support to ensure continuity of supply of pickers during peak season."

Estimates suggest that the UK berry industry is worth around $1.65 billion, and it is expected to reach $2.18 billion by the end of 2028.

BBG also believes that measures such as extending seasonal workers' visa duration from six to nine months could help ensure an adequate workforce for berry picking throughout the growing season.

Marston believes that a "more flexible" process for approving berry exports from the UK, which would allow producers to seize market opportunities in the EU and beyond, would also provide relief. "Proposals from British berry producers should be taken seriously to ensure the future of the national berry industry," he concluded.