SHELLING OUT: LIDL INJECTS £1 BILLION INTO BRITISH EGG SECTOR AS FREE-RANGE SALES BOOST CATEGORY GROWTH

• Free-range egg sales jump by over a third, despite sector-wide shortages, as retailer builds on existing financial incentives to further support producers
• Exceptional growth follows launch of free-range egg producer group with farmers benefitting from long-term cost of production contracts and guaranteed minimum volumes
• Additional measures include rollout of white eggs, helping farmers utilise more productive and environmentally friendly birds

Lidl has strengthened its commitment to the British egg industry by injecting £1 billion over five years, with free-range sales boosting category growth¹. This investment underscores its dedication to supporting British farmers and ensuring a consistent supply of high-quality, 100% British eggs.

Building on existing financial incentives, aimed at addressing the shortage of British free-range egg farms, Lidl has established a producer group of British free range egg farmers. This follows its free-range egg sales jumping by over a third (34%) in the last year², highlighting the growing consumer preference for higher welfare, locally produced eggs.

Members of the producer group benefit from long-term cost of production contracts, guaranteed minimum volumes, assistance in securing finance from banks, and additional funding to build new free-range sheds. This helps ensure the long-term success of farms, as Lidl works towards exclusively stocking British free-range eggs in all its stores.

Lidl has also supported the industry further by becoming one of the first retailers to roll out white eggs across all stores in the UK, helping producers by utilising more productive and environmentally friendly birds. These white eggs are produced by white-feathered hens. They lay eggs for longer and consume less feed, whilst offering customers the same quality and nutritional value as traditional brown eggs.

Richard Bourns, Chief Commercial Officer at Lidl GB, commented: "We are proud to support British farmers – they are critical to our business, and we wouldn’t be where we are today without them. Together with our producer groups, we’ve developed long-term cost of production contracts, providing farmers with the confidence and security they need to invest in their business. This commitment ensures a sustainable future for the industry and guarantees high-quality, affordable British eggs for our customers."

Julia Brewster, a small family-run farm owner and producer group member, shared her experience: “In less than a year, we’ve already seen the benefits of joining the producer group. Lidl has invested over £5 million into our business and with its support and commitment to buying all our eggs, we’ve gained the confidence to invest further. We’re expanding rapidly, quadrupling our output, and building multiple new sheds – setting us up for the future”.

Tom Elliott, Managing Director at Eggsell, added: “We’ve partnered with Lidl for over a decade, and it’s exciting to see the way they have stepped up to support the industry in recent years. The creation of the producer group and the investments made both into my business and local farms will make the industry more sustainable for years to come. The move to long-term open book cost of production-based contracts has meant that I have the confidence to invest in my business and producers have the same. We are ramping up capacity in our packing centre to deal with the incredible growth Lidl is seeing.”

ENDS

Notes to Editors

References

1. Kantar 12 w/e 1st September (Volume)
2. Kantar 52 w/e 1st September (Volume)