Poultry News
  • Production
    • Broiler Production
    • Ducks
    • Egg Production
    • Game
    • Hatching
    • Housing
    • Turkeys
  • Processing
  • Business & Politics
    • Business
    • Economics
    • EU & Politics
    • Marketing
    • People
    • Training & Education
  • Welfare
    • Environment
    • Food Safety
    • Vet & Medication
    • Welfare
  • Feed
  • Genetics
  • New Products
  • Magazines
    • October 2025
    • September 2025
    • 2025 Buildings supplement
    • August 2025
    • 2025 Poultry Health supplement
    • July 2025
    • 2025 National Egg and Poultry Awards finalists supplement
    • June 2025
    • 2025 Innovation supplement
    • May 2025
    • April 2025
    • March 2025
    • 2025 Feed and Nutrition supplement
    • February 2025
    • January 2025
    • December 2024
    • November 2024
    • October 2024
    • September 2024
    • 2024 Building for the Future supplement
    • August 2024
    • 2024 Poultry Health supplement
    • July 2024
    • 2024 National Egg and Poultry Awards finalists supplement
    • June 2024
    • 2024 Innovation supplement
    • Pig & Poultry Fair 2024
    • May 2024
    • April 2024
    • March 2024
    • February 2024
    • January 2024
    • December 2023
    • November 2023
    • Processing Equipment Supplement – Nov 2023
    • October 2023
    • Building Supplement – Sept 2023
    • September 2023
  • Jobs
    • Browse Jobs
    • Post a Job
    • Manage Jobs
  • Events
    • National Egg and Poultry Awards
    • Poultry Fair
    • Webinars
Twitter LinkedIn
  • FREE Email Newsletters
  • About Us
  • Advertise
  • Subscribe
  • Contact Us
Twitter LinkedIn
Podcast
Poultry News
  • Production
    • Broiler Production
    • Ducks
    • Egg Production
    • Game
    • Hatching
    • Housing
    • Turkeys
  • Processing
  • Business & Politics
    • Business
    • Economics
    • EU & Politics
    • Marketing
    • People
    • Training & Education
  • Welfare
    • Environment
    • Food Safety
    • Vet & Medication
    • Welfare
  • Feed
  • Genetics
  • New Products
  • Magazines
    1. October 2025
    2. September 2025
    3. 2025 Buildings supplement
    4. August 2025
    5. 2025 Poultry Health supplement
    6. July 2025
    7. 2025 National Egg and Poultry Awards finalists supplement
    8. June 2025
    9. 2025 Innovation supplement
    10. May 2025
    11. April 2025
    12. March 2025
    13. 2025 Feed and Nutrition supplement
    14. February 2025
    15. January 2025
    16. December 2024
    17. November 2024
    18. October 2024
    19. September 2024
    20. 2024 Building for the Future supplement
    21. August 2024
    22. 2024 Poultry Health supplement
    23. July 2024
    24. 2024 National Egg and Poultry Awards finalists supplement
    25. June 2024
    26. 2024 Innovation supplement
    27. Pig & Poultry Fair 2024
    28. May 2024
    29. April 2024
    30. March 2024
    31. February 2024
    32. January 2024
    33. December 2023
    34. November 2023
    35. Processing Equipment Supplement – Nov 2023
    36. October 2023
    37. Building Supplement – Sept 2023
    38. September 2023
    Featured

    Poultry Business – October 2025 issue out now

    By Chloe RyanOctober 13, 2025
    Recent

    Poultry Business – October 2025 issue out now

    October 13, 2025

    Poultry Business – September 2025 issue out now

    September 19, 2025

    Poultry Business – 2025 Buildings supplement out now

    September 19, 2025
  • Jobs
    • Browse Jobs
    • Post a Job
    • Manage Jobs
  • Events
    • National Egg and Poultry Awards
    • Poultry Fair
    • Webinars
Twitter LinkedIn
Poultry News
Egg Production

Analysis: The fight for better egg contracts

Chloe RyanBy Chloe RyanFebruary 13, 20194 Mins Read
Facebook Twitter LinkedIn Email
Share
Facebook Twitter LinkedIn Email

Egg producers claim they’re being short-changed by bad contracts. Now they’re going public with their demands.

The British Free Range Egg Producers Association (BFREPA) is seeking to reform supply contracts between farmers and packers after lawyers wrote a report calling some agreements ‘grossly imbalanced in favour of buyers’.

BFREPA commissioned a team of legal experts from Birketts LLP to examine contracts between producers and nine major egg packers and found numerous areas they say should be improved.

They include pricing and payment terms – which vary massively between agreements – and termination which, in some cases, is weighted entirely towards packers.
 
BFREPA chief executive Robert Gooch says he has opened up a dialogue with 41 packers outlining the organisation’s areas of concern and asking for feedback.
 
Following consultation BFREPA will deliver on its pledge to draw up model contracts which will be available to its members to enable them to secure fairer terms when negotiating with customers. 

“Producers have a right to a fair contract which gives them confidence to continue to invest in their businesses and produce a great product,” says Gooch.
 
“Our findings are that contracts are very one sided in favour of the buyer, which is to be expected when it is the packer offering the terms.
 
“Our end game is to arm free range producers with a model contract which stands up to legal scrutiny. This can be used as a barometer for fairness when producers are offered contracts in the future.”
 
The consultation will close in February when work will begin on drawing up the model contracts. The organisation expects to hear back from packers in the second week of February.
 
Birketts LLP found most agreements include similar key provisions spanning important areas such as quality standards, compliance with regulation and exclusivity of supply.
 
But it has recommended areas for improvement, including:
 
Exclusivity – agreements were found to be quite onerous in terms of the obligations being placed on producers. Strict terms are imposed.
 
Codes of practice – one set of agreed codes and regulations would be better than the current variation of terms shown from one agreement to another.  
 
Pricing and payment – title to the eggs passing to the buyer on collection was seen as very one-sided and would be improved being held by the producer until payment has been received. Payment terms vary from two weeks to one month and there is a lack of consistency on price.
 
Grading– how eggs are graded and priced is solely at the discretion of the buyer. The producer should have the right to agree the grading and prices of the eggs it supplies. 
 
Indemnities – producers are asked to provide a number of warranties to the buyer and also to indemnify against certain aspects of the eggs, and for breach of contract. It is considered that buyers should be required to do the same. 
 
Duration and termination – contracts vary in terms of the length of the notice period. The rights of each party to terminate the agreement should be consistent in any agreement entered into – at the moment it is not.

The report has come at an already difficult time for egg producers. In January, some egg packers lowered the price they are paying producers for free range eggs in reaction to an oversupply in the market.

“The market has been in an oversupply situation and we have been warning that further pressure would be put on prices,” says Gooch. “Over the past few years BFREPA has been providing members with pullet placement and planning data updates with regular warnings of overproduction leading to a likely impact on prices.

“Nonetheless it will be a bitter pill to swallow for many producers who were hit with rocketing feed bills last year while the egg price steadily eroded.

“This makes the work we are doing to introduce model contracts even more important.

“We need balanced, water-tight agreements which not only provide more protection for producers against market volatility but also encourage packers and retailers to act more responsibly in their contract offers to producers.”

For more than two years BFREPA has warned about oversupply to members and the potential for price cuts as a result. The organisation has campaigned for more packers to offer feed-price linked tracker contracts which helped at least 30% of producers avoid price cuts.

The producer organisation is working to establish a model contract by the end of March and will set out balanced terms for producers to enter into with packers and says it will continue to encourage consumers to swap large eggs for medium and mixed weight boxes in a digital and media campaign.

 

 

Share. Facebook Twitter LinkedIn Email
Previous ArticleAntimicrobial reduction – livestock at the heart of government’s new action plan
Next Article Food fraud fine not fit for purpose says British egg industry
Chloe Ryan

Editor of Poultry Business, Chloe has spent the past decade writing about the food industry from farming, through manufacturing, retail and foodservice. When not working, dog walking and reading biographies are her favourite hobbies.

Read Similar Stories

Hatching

GB compartment status is achieved by Cobb Europe

October 17, 20251 Min Read
Egg Production

Rebecca Reeves: A passion for organic

October 16, 20259 Mins Read
Hatching

PD Hook: A fresh chapter

October 14, 20256 Mins Read
Latest News

Leadership change at PD Hook as Patrick Hook takes reins

October 31, 2025

Bird flu confirmed in Suffolk as England records ninth case of the season

October 31, 2025

Stonegate renews offer of avian influenza insurance

October 31, 2025
Sponsored Content

Can Aviance improve production and shell quality in full laying cycle?

October 1, 2025

How can UK farmers make poultry profitable without losing welfare?

September 1, 2025
© 2024 MA Agriculture Ltd, a Mark Allen Group company

Privacy Policy | Cookies Policy | Terms & Conditions

  • Farmers Weekly
  • AA Farmer
  • Farm Contractor
  • Pig World

Type above and press Enter to search. Press Esc to cancel.