"Growers are in the same position now as they were when Russia invaded Ukraine, because wholesale gas prices are creeping up. With rising costs, many growers are considering sending their staff home, stopping for the season, and producing nothing. They will need to decide in the next few weeks whether it is economically viable to continue for the rest of the year."
"Glasshouse crops depend heavily on heating systems to maintain precise temperatures and humidity levels. If growers cannot afford to run their boilers, temperatures inside the glasshouses will drop, slowing plant growth or potentially killing crops entirely. This could lead to reduced yields and gaps in the supply of fresh salad vegetables to supermarkets across the UK."
"Back in 2022, when Russia invaded Ukraine, we ended up with empty shelves in the supermarkets. Supermarkets agreed to a fixed price with growers last year. They can intervene now, if they wish, and agree to pay more for produce."
British glasshouse producers face severe economic pressure from skyrocketing wholesale gas prices linked to geopolitical tensions involving Iran. The Lea Valley Growers Association, representing major UK glasshouse operations producing cucumbers, tomatoes, aubergines, and sweet peppers, warns that growers may cease operations within weeks. Rising heating costs threaten crop viability since glasshouses require precise temperature and humidity control. Producers face decisions about whether continuing operations remains economically feasible. This situation mirrors the 2022 energy crisis following Russia's invasion of Ukraine, which resulted in supermarket shortages. Without intervention, reduced yields and supply gaps for fresh vegetables could occur across UK supermarkets.
#energy-crisis #food-supply-chain #glasshouse-production #supermarket-shortages #geopolitical-impact
Read at London Business News | Londonlovesbusiness.com
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