Pig World
  • News
      • Animal Health
      • Breeding
      • Business
      • Environment
      • EU
      • Food Safety
      • Housing
      • Marketing
      • NPA
      • National Pig Awards
      • New Products
      • Nutrition
      • People
      • Pig Fair
      • Politics
      • Training & Education
      • Welfare
  • Features
    • Animal Health
    • Breeding
    • Environment
    • Farm Visits
    • Herd Recording
    • Housing
    • Marketing
    • Nutrition
    • Products
    • Training
  • Comment
    • AHDB Pork
    • Chris Fogden
    • Dennis Bridgeford
    • Peter Crichton
    • Red Robin
    • Veterinary View
    • Zoe Davies, NPA
  • Numbers
  • Pig Prices
  • Magazines
    • July 2025
    • June 2025
    • 2025 Innovation supplement
    • May 2025
    • April 2025
    • March 2025
    • 2025 Buildings supplement
    • February 2025
    • 2025 Nutrition Supplement
    • January 2025
    • December 2024
    • November 2024
    • 2025 National Pig Awards supplement
    • October 2024
    • September 2024
    • August 2024
    • 2024 Pig Health supplement
    • July 2024
    • June 2024
    • 2024 Innovation supplement
    • 2024 Pig & Poultry Fair Guide
    • May 2024
    • April 2024
    • 2024 Buildings Supplement
    • March 2024
    • 2024 Pig Nutrition supplement
    • February 2024
    • January 2024
    • December 2023
    • November 2023
    • 2023 National Pig Awards supplement
    • October 2023
    • September 2023
    • Health Supplement
  • Suppliers
  • Jobs
    • Browse Jobs
    • Post a Job
    • Manage Jobs
  • Classified
  • Events
    • Pigs Tomorrow
    • National Pig Awards
Podcast
Pig WorldPig World
  • News
      • Animal Health
      • Breeding
      • Business
      • Environment
      • EU
      • Food Safety
      • Housing
      • Marketing
      • NPA
      • National Pig Awards
      • New Products
      • Nutrition
      • People
      • Pig Fair
      • Politics
      • Training & Education
      • Welfare
  • Features
    • Animal Health
    • Breeding
    • Environment
    • Farm Visits
    • Herd Recording
    • Housing
    • Marketing
    • Nutrition
    • Products
    • Training
  • Comment
    • AHDB Pork
    • Chris Fogden
    • Dennis Bridgeford
    • Peter Crichton
    • Red Robin
    • Veterinary View
    • Zoe Davies, NPA
  • Numbers
  • Pig Prices
  • Magazines
    1. July 2025
    2. June 2025
    3. 2025 Innovation supplement
    4. May 2025
    5. April 2025
    6. March 2025
    7. 2025 Buildings supplement
    8. February 2025
    9. 2025 Nutrition Supplement
    10. January 2025
    11. December 2024
    12. November 2024
    13. 2025 National Pig Awards supplement
    14. October 2024
    15. September 2024
    16. August 2024
    17. 2024 Pig Health supplement
    18. July 2024
    19. June 2024
    20. 2024 Innovation supplement
    21. 2024 Pig & Poultry Fair Guide
    22. May 2024
    23. April 2024
    24. 2024 Buildings Supplement
    25. March 2024
    26. 2024 Pig Nutrition supplement
    27. February 2024
    28. January 2024
    29. December 2023
    30. November 2023
    31. 2023 National Pig Awards supplement
    32. October 2023
    33. September 2023
    34. Health Supplement
    Featured

    July 2025 issue of Pig World now available

    July 6, 2025
    Recent

    July 2025 issue of Pig World now available

    July 6, 2025

    June 2025 issue of Pig World now available

    June 4, 2025

    2025 Innovation supplement now available

    June 4, 2025
  • Suppliers
  • Jobs
    • Browse Jobs
    • Post a Job
    • Manage Jobs
  • Classified
  • Events
    • Pigs Tomorrow
    • National Pig Awards
LinkedIn X (Twitter)
Pig World
Business

Deflation is a “very real threat” to farming incomes warns NFU

Colin LeyBy Colin LeyMay 28, 20153 Mins Read
LinkedIn Twitter Facebook Email

Continued deflation in food products poses a “very real threat” to the farming industry says the NFU’s head of food and farming, Phil Bicknell.

Noting that the UK is in a period of deflation for the first time in over 50 years, Mr Bicknell, writing an NFU blog, takes a very different view on the development to the “we enjoy it while it lasts” comment made by Bank of England governor, Mark Carney.

“While some might think that stuff getting cheaper is a good thing, economists and business leaders get concerned about deflation,” commented Mr Bicknell. “Generally speaking, if we expect to see lower prices tomorrow, then we’re more likely to put off our purchasing today. That delayed spending can be bad news for our economy.

“Shoppers buying less stuff means businesses produce less stuff. The knock-on effect is that businesses need to replace the equipment needed to produce stuff less often, and fewer workers are needed to produce that stuff. In farming, we’ve been experiencing deflation since the early part of 2014 and the price falls are widespread.

“Whether it’s dairy, cereals, sugar or meat, we’ve seen prices of a whole host of commodities fall. For example dairy and pig prices are currently almost 20% lower than they were 12 months ago. Lamb and beef prices have also under pressure in the recent weeks.”

The impact of deflation in agricultural products is already being felt, he continued, adding that profitability has come under pressure and margins have been squeezed. This is particularly the case for food, where prices have fallen every month since May 2014.

“Carney’s view is that the deflation we’re seeing is driven by lower food and energy prices, and we tend to buy those things as we need them, and that even if we’re expecting falling prices tomorrow, we’ll try to make sure we’ve got enough food to eat today,” added Mr Bicknell.

“I’m much more anxious, because I know the implications of falling food prices at the retail level. I know that the basket of UK farm commodities that makes up Defra’s Agricultural Price Index has fallen by 12% and is at its lowest level since November 2010. At the national level, I expect us to be measuring the drop in farming’s revenues in 2015 in billions rather than millions. That impacts on the bottom line for tens of thousands of farming businesses.

“Farmers are remarkably resilient, but continued deflation in the products we produce poses a very real threat to our industry.”

Access Phil Bicknell’s blog

Share. LinkedIn Facebook Twitter Email
Previous ArticleIFA urges factories to make better pig prices “official” across the board
Next Article Work starts on £25m Scottish livestock research and innovation centre
Colin Ley

Read Similar Stories

June UK pig slaughterings up 2.7% year on year, as Q2 production remains ahead of last year

July 15, 2025

ABN kicks off pioneering long-term mill project

July 11, 2025

Sofina Foods acquires NI food manufacturer Finnebrogue

June 30, 2025
Latest News

New government food strategy a welcome step, but must be backed by pragmatic policy – NFU

July 18, 2025

AHDB to explore retail trends and consumer perceptions of farming at October conference

July 17, 2025

GB pig prices for week ending July 12, 2025 – SPP continues to inch up

July 16, 2025
Sponsored Content

THE GATEKEEPER OF RESPIRATORY HEALTH – MYCOPLASMA HYOPNEUMONIAE (M.HYO)

April 30, 2024

Tackle the root cause of PWD with free diagnostic tests

March 1, 2024
Current Pig Industry jobs
  • Pig Stockperson – Ref 1763 Scotland

    • Scotland
    • Roadhogs Recruitment Ltd.
    • Full Time
  • Senior Piggery Stockpersons – Ref 1762 Western Australia

    • Western Australia
    • Roadhogs Recruitment Ltd.
    • Full Time
  • Assistant Pig Farm Manager – Ref 1761 Leicestershire

    • Leicestershire
    • Roadhogs Recruitment Ltd.
    • Full Time
GETTING IN TOUCH
  • Advertise
  • Contact Us
  • Meet The Editors
  • About Us
  • Email Newsletters
  • Subscribe
  • Reuse permissions
OUR SOCIAL CHANNELS
  • Twitter
  • LinkedIn
PARTNER EVENTS
RELATED SITES
  • Farmers Weekly
  • Agronomist & Arable Farmer
  • Farm Contractor
  • National Pig Awards
  • Pigs Tomorrow
  • Poultry News
  • Weekly Tribune
  • Privacy Policy
  • Cookies Policy
  • Terms and Conditions
© 2024 MA Agriculture Ltd, a Mark Allen Group company

Type above and press Enter to search. Press Esc to cancel.