Poultry industry hit hard by heating costs

Temperatures as low as minus 18C were seen across the UK in the coldest spell of winter seen since the early 1980s, causing many farmers to run their heaters virtually non-stop at considerable expense.

The result will be fuel bills which in some cases will be more than treble the normal level, leaving many broiler and egg producers concerned that last summer's profits will be close to being wiped out.

Leading figures from within the industry are urging retailers not to cut their prices at the further expense of farmers when so many are struggling with the effects of the cold weather.

Nick Fletcher, who farms from Dalton near Thirsk, said: "We are still using around 1,000 of gas a week, we would normally only be using half of that at the most.

"We have also had trouble with the wagons getting up the roads."

Mr Fletcher said that inevitably the extra fuel costs would affect the farm's economics.

"It is going to have an impact," he said.

"We have spent an extra 3,000, somebody is going to have to pay for it. We will probably end up absorbing up to half, that's just the way it goes."

Another poultry farmer, Chris Roach, praised the way the industry had worked together to make sure any impact from the cold weather on the birds was minimal.

"From the welfare point of view there have been no issues," said Mr Roach, who runs Oakland Farms at Moor Monkton, near York.

"Suppliers and transport companies have worked together with farmers to make sure that there have been no problems.

"On the costs side however it is a different picture. It has been completely horrendous in terms of expense.

"Propane and any other heating costs have simply gone through the roof. The heating bill will be double any monthly costs we would have for December and January and three times plus the average monthly heating costs."

Mr Roach called upon the retail end of the food chain to help farmers to cope with the extra costs. "We are dealing with extraordinary costs under extraordinary circumstances. We have had some sympathetic noises but we have yet to see the colour of money just yet."

Egg producers have been hit too, with some farmers having to feed each bird by hand after water supplies froze.

The cold weather comes at a time when egg producers are rushing to comply with new European Union laws which will ban conventional hen cages.

The new colony cage systems that producers have to use are very expensive with some farmers claiming they will be forced to quit production rather than invest in the new equipment.

Reports suggest as many as 130 million egg producers across the EU are unlikely to meet the 2012 deadline but the British Egg Council says it expects Britain's egg industry to meet the target.