Fabio Brancher, Agricultural Director at Pilgrim’s Europe, emphasized that the initiative is not just about securing supply. “This is about building a resilient and sustainable British pork industry. Consumers want quality, traceable British pork, and we want to ensure that farmers can continue producing it — profitably,” he said.
Pilgrim’s Europe, which processes over 2.2 million pigs annually and works with hundreds of farming partners, sees 2025 as a turning point for the pork industry. After years of volatility — driven by fluctuating feed prices and market uncertainty — the sector is showing positive momentum.
Brancher noted that traditional short-term contracts of 3 to 5 years are not suitable for a capital-intensive sector like pig farming, where infrastructure investments typically require 15 to 20 years to pay off. This mismatch, he said, has resulted in chronic underinvestment and uncertainty.
“Our new long-term contract model directly addresses this issue,” Brancher explained. “It’s tailor-made for farmers looking to build new facilities or convert existing operations, offering them greater security and reduced financial risk.”
Under the new agreement, Pilgrim’s Europe commits to supporting loan repayments through improved cash flow and offers up to £15 (around €18) per pig per batch over the full 20-year period. Importantly, farmers are guaranteed to make a profit throughout the life of the contract, in addition to management fees and performance bonuses.
“This arrangement shields farmers from market volatility and financing challenges, offering predictable income and long-term planning capability. It’s a game-changer for both existing producers and those looking to diversify into pig production,” Brancher said.
Pilgrim’s Europe operates a fully integrated business model, encompassing everything from nucleus sow herds and breeding to finished, retail-ready products. With a turnover of £4.2 billion (€4.9 billion) across 40+ sites, the company says it is well-positioned to offer long-term stability and absorb market fluctuations that could otherwise damage smaller operators.
“We’re not just a processor buying pigs; we are a full supply chain partner. That means we capture value at every stage, and can offer farmers long-term support and confidence,” Brancher added.
This new contract model by Pilgrim’s Europe represents a significant shift in how partnerships between processors and farmers are structured. It opens the door to long-term investment, sector growth, and renewed confidence in UK pig farming — a move many see as essential for ensuring food security and supply chain resilience in the years ahead.
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