NFU plans for 2010 sugar negotiations

Talks with British Sugar will start in 2009, and the NFU will discuss its position with producers, giving them an opportunity to raise concerns following tense price negotiations earlier this year.

More than 300 sugar growers got together to raise concerns over the NFU's negotiations with British Sugar for 2009 contracts, sending them back to the negotiating table demanding a better deal.

After settling for a fixed contract price of £26 per adjusted tonne in 2009, plus an increase in transport allowance averaging £1 per adjusted tonne, growers will be hoping for further progress next year.

NFU sugar chairman William Martin said: “The backdrop for the negotiations has changed considerably with the sugar market continuing to undergo structural changes.

"Price and quota cuts, European and global restructuring, price volatility and the politics surrounding food security and land use are all factors that will, directly or indirectly, influence our future beet supply contract and relationship with the processor.

“There are now arguably more opportunities and challenges for the industry than ever before. Contractual arrangements are the means by which the industry can address these together, with mechanisms that work satisfactorily for both parties.”

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