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    Poultry Business – June 2025 issue

    By Chloe RyanJune 9, 2025
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Business & Politics

Competition Authority finds merger of poultry feed mills could raise prices for farmers

Chloe RyanBy Chloe RyanNovember 25, 20243 Mins Read
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Chicken at farm. Shallow DOF. Developed from RAW; retouched with special care and attention; Small amount of grain added for best final impression. 16 bit Adobe RGB color profile.
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Plans by Ranjit Boparan and ForFarmers to merge feed businesses have again been frustrated, after a Phase 1 investigation by the Competition and Markets Authority (CMA) found that Boparan’s proposed purchase of ForFarmers’ Burston feed mill site could lead to a substantial lessening of competition in the supply of poultry feed to independent poultry producers in East Anglia.

The CMA also found that as a result of the transaction, Boparan would have the ability and incentive to “harm rival poultry meat producers”, leading to higher poultry feed costs for chicken farmers and processors which could be ultimately passed to retailers and consumers.

ForFarmers and Boparan (through his business 2Agriculture) both manufacture and supply poultry feed in the UK.

ForFarmers is based in the Netherlands and distributes its animal feed across Europe. 2Agriculture, a subsidiary of Boparan, is one of the UK’s largest suppliers of poultry feed by volume produced and uses its production to supply Hook 2 Sisters, which is affiliated with Boparan, as well as farmers on the open market.

The CMA’s investigation found that the deal could lead to reduced competition in the local area around Burston – one of the two feed mill sites Boparan is seeking to purchase from ForFarmers. The CMA said it was concerned that the deal could lead to less capacity for feed being supplied to independent farmers and processors resulting in higher costs and a reduction in quality of services.

No competition concerns in relation to the second feed mill site Boparan is planning to acquire in Radstock were found, however.

ForFarmers and Boparan were given five working days in November to submit proposals to address the CMA’s concerns. In the absence of plans being submitted, the CMA will progress to an in-depth Phase 2 investigation.

Joel Bamford, executive director of Mergers at the CMA, said: “We’re concerned that this deal could worsen competition between poultry feed suppliers in East Anglia – leading to higher costs for farmers which could then be passed down to shoppers.

“It’s now up to the companies to offer solutions to address our concerns and avoid the deal moving to a full Phase 2 investigation.”

A spokesman for Boparan declined to comment.

This is not the first time the two firms have tried to merge. In 2022, the CMA investigated a joint venture by ForFarmers and Boparan. Following a Phase 1 investigation, the CMA found that the merger gave rise to competition concerns in the local areas around four of the feed mills operated by the combined businesses, namely in Burston, Bury, Llay and Preston.

The combined businesses would have accounted for 50 to 60% of the supply of meat poultry feed to third parties in three of these local areas (Burston, Bury and Llay) and 40 to 50% in the fourth local area (Preston). The companies offered proposals to address the CMA’s concerns at the time, but the CMA considered that these were unlikely to be sufficient in addressing its competition concerns and, as a result, the deal was referred for an in-depth Phase 2 investigation.

Ultimately, the deal was abandoned by the Parties on 8 February 2023 during the CMA’s Phase 2 investigation.

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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.

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