The fund will be allocated to reward farmers who actively work to reduce carbon emissions and enhance biodiversity on their farms.
Through two upcoming projects, beef, lamb, and dairy farmers who participate will gain access to payments exceeding the current market price for their products.
“We know British farmers are facing many challenges and have seen first-hand the fear, anxiety and anger they are currently feeling,” stated Matt Hood, Managing Director at Co-op.
“Backing UK agriculture is more important than ever—at Co-op, this means investing hundreds of millions every year to be one of the few UK retailers to be totally 100% British across meat, poultry and dairy throughout our own supply chain and committing support for farmers addressing the growing need for sustainability and climate resilience.
“We know our members and customers feel the same, and they value being able to buy the high-quality, British-sourced products they love.”
The first project will emphasize the dairy sector, with Co-op partnering with the Soil Association Exchange to assist 140 farmers within its Dairy Farming Group. The objective is to reduce their carbon footprint while establishing key indicators for nature such as biodiversity and soil health.
Farmers will receive payments as part of the project and will have the option to select an action plan guided by Soil Association Exchange advisors. This plan may include strategies such as reducing fertilizer use, enhancing fuel efficiency, and investing in solar energy.
Simultaneously, the second project will provide compensation to beef farmers who implement sustainable farming practices. This initiative will be available to members of Co-op’s farming group.
After a successful two-year pilot, the scheme will expand to encompass 15% of the retailer’s beef supply chain this year, and for the first time, it will also include lamb farmers.
Tom Bramall, a dairy farmer and Chair of Co-op’s dairy group, remarked: “In these uncertain times for our industry, we need to work together across the supply chain. Farmers like me want to play our part when it comes to sustainability, but we need support.
“It’s fantastic to see the Co-op directly rewarding farmers and recognizing the positive role we play in addressing the issues around climate change. I appreciate the significant investment this is for Co-op in us and look forward to working in partnership with them over the coming years.”
