Pilgrim’s offers UK pig farmers 20 year contracts
Meat processor Pilgrim’s Europe is offering UK pig farmers new contracts for a period of 20 years. Agricultural director Fabio Brancher said, “This is not just about securing supply; it is about creating a sustainable, profitable future for British pig farming that benefits farmers, processors, and ultimately consumers who want quality, traceable British pork.”
Pilgrim’s Europe processes 2.2 million pigs annually and works with hundreds of pig farming partners. “The UK pork industry is experiencing a positive 2025, following previous years of uncertainty around feed prices and market volatility. The momentum it is showing so far presents excellent opportunities for farmers looking to innovate or diversify their income,” Brancher explains.
He continued to say, “Our new farmer contract offering addresses the fundamental issue that has been a problem in the sector for the past few years: short-term thinking in an industry that requires long-term investment. Traditional contracts typically run for 3-5 years, but modern pig farming infrastructure requires 15–20-year payback periods. This mismatch has created chronic underinvestment and a lot of uncertainty. Our offer is specifically designed for farmers looking to build new facilities or convert existing operations to pig farming, making it easier for them to enter or expand in the sector with reduced financial risk.”
A profit throughout the contract period
“Under our new model, we have committed to supporting farmers’ loan payments through improved cash flow, providing up to £15 (almost €18, ed.) per animal per batch over the 20-year period. Crucially, we guarantee that farmers will make a profit throughout the contract period, alongside their usual management fees and performance bonuses. The new arrangement significantly reduces financial risk for existing pig farmers, or for those looking to diversify into pig production. Instead of worrying about market fluctuations or struggling to secure financing for new facilities, farmers get predictable income and loan support. The 20-year commitment allows farmers to plan long-term investments and improvements.”
Brancher points out that Pilgrim’s works with a fully integrated business model. He said, “We are not just a processor buying pigs; we are a complete supply chain partner operating everything from nucleus sow herds to breeding through to the creation of retail-ready products. This integration allows us to offer long-term commitments, because we capture value at every stage of the supply chain.Our £4.2 billion (€4.9 billion, ed.) turnover across 40+ sites means we can absorb market volatility that would harm smaller operators. When feed costs spike or retail prices fluctuate, our integrated model provides stability that benefits all our partners.”
