Parties to meet with 2 Sisters and 2 Agri on Wednesday

NFU Scotland has been providing legal advice for growers who supply the 2 Sisters Food Group’s Letham and Coupar Angus plants as negotiations continue.

The most recent meeting with growers was held on Monday, 9 December at Lochter, Oldmeldrum following a previous meeting on 2 December.  At the latest meeting, NFU Scotland’s corporate lawyers from Gillespie MacAndrew gave advice to the businesses that have had their contracts terminated by 2 Sisters with immediate effect.

NFUS understands all independent chicken growers could potentially lose their contracts - some immediately, some after two-crops, and others on old Grampian contracts after 12 crops.
Those businesses that have had contracts terminated have been subjected to a reduction in prices and some have faced unilateral changes in contracts.

An update was also given on the development of a Scottish Chicken Growers Association, a new chicken producers group.   Discussion about future development was aided by a presentation from Gordon McKen of the Scottish Pig Producers Limited group.   The Union also gave an update on the work that has been going on over the last week, including linking in with retailers to define future sourcing policy and commitment to Scottish produce and an update on the Scottish Government’s Poultry Plan.

NFU Scotland and growers who supply either Letham or Coupar Angus will meet with managing director of 2 Sisters, Steve Ellis, and Rob Rafferty of 2 Agri in a closed meeting tomorrow, Wednesday 11 December.  NFUS understands Scottish Cabinet Secretary Richard Lochhead is also due to meet with Ranjit Singh, owner of 2 Sisters tomorrow.

Commenting on last night’s meeting, Nigel Miller, NFU Scotland’s President said:

“The uncertainty over the last few days have been fuelled by the fact that the majority of producers supplying 2 Sisters have no written contract. Only the former Grampian producers are in a slightly better position, having that original contract in place.

“It was important that legal advice was available to ensure the position of all the growers was safe-guarded, especially as some may not be offered future supply options.

“All producers had real concerns about the unilateral reduction in price that will make any future crops of birds unviable if not reversed.  That is something we will pick up directly with 2 Sisters and 2 Agri tomorrow.”

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Contact Ruth McClean on 0131 472 4108