Agricultural Supply Chain Adjudicator

(asked on 12th May 2025) - View Source

Question to the Department for Environment, Food and Rural Affairs:

To ask the Secretary of State for Environment, Food and Rural Affairs, what steps he is taking to ensure the Agricultural Supply Chain Adjudicator supports (a) profitability and (b) resilience in the (i) food and (ii) farming sector.


Answered by
Daniel Zeichner Portrait
Daniel Zeichner
Minister of State (Department for Environment, Food and Rural Affairs)
This question was answered on 21st May 2025
  • The Agricultural Supply Chain Adjudicator (ASCA) is responsible for enforcing regulations developed under the Agriculture Act’s 'Fair Dealing' powers (section 29). Regulations introduced using these powers promote fair contractual dealing and contribute to a more equitable relationship between producers and buyers.
  • To date, these powers have been used to create the Fair Dealing Obligations (Milk) Regulations 2024 and the Fair Dealing Obligations (Pigs) Regulations 2025.
  • These regulations provide greater protection for producers by requiring fair contract terms. This includes ensuring that producers are provided with clear information about how prices are set. Although the regulations do not dictate pricing expectations or directly address profitability, they help producers make more informed decisions by fostering transparency and balance in commercial relationships.
  • The ASCA can investigate relevant complaints and has significant powers to impose fines on and/or order compensation to be paid by those found to be in breach. The ASCA also aims to be a convener across supply chains, working with both producers and purchasers/processors to improve business relationships and behaviours around contracts.
  • Defra has recently commissioned a review on Farm Profitability. This will provide recommendations for government and industry that will support farming profitability as part of this government’s New Deal for Farmers.
  • The food sector is also one of the UK's 14 Critical National Infrastructure sectors, and Defra recognises the importance of the food supply chain to National Security. Further, the UK Food Security Report examines past, current, and future trends to present a full and impartial analysis of UK food security.
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