SHOULD THE farming industry be worried about the proposed takeover of Asda by Sainsbury? Of course it should.

The 'We're in the money' chanting Sainsbury's boss, Mike Coupe, has already declared that this deal is all about driving down costs. To the farmers who supply both supermarkets across the UK, that should send a shiver of apprehension down their balance sheets.

That's because when someone talks about 'driving down costs', there is always going to be a loser in there somewhere. And, that dear reader, is the bloke at the bottom of the pile – ie, the set upon farmer supplier.

For this is the only bit of the supply chain that is only a seller, with little control over variable input costs, such as the weather and the price of wheat. Farmers cannot change the topography of their land, nor can they influence the price of fertiliser, any more than they can stand up to the major retailers on an individual basis. This is exactly why the EU is seeking to curb the unfair practices of the large buying capacity of the super retailers.

Sadly, we should be fearful that we will no longer have that protection – even if it is only the usual EU papering over of the cracks that are already the proportions of an abyss. When we leave the EU, there is every reason to suppose that, far from curbing the abusive power of some retailers, the UK government will buy into the concept of cheap food at any price.

It is already at a contradictory cross-roads. On one hand it wants cheap food delivered to the populace and on the other it wants environmental benefits delivered by agriculture. The two are not entirely compatible, especially when the likelihood is that imports will be required to fill in the gaps – and who will be checking the compliance credentials of those on issues like animal welfare and use of chemicals?

It is up to the industry to fight its corner and when a supermarket depends on its suppliers to fund its 'buy one, get one free' campaigns – then it needs to have the strength to tell them to BOGOF!

Top show

ON A lighter note, let's hope the weather holds for what is a great milestone in the history of the Royal Ulster Agricultural Society – its 150th show.

This has a great friendship and affinity with the industry in Scotland and there is no friendlier place to be. Shake off the winter blues and have two days at Balmoral, followed by a day at home on the Scottish show scene – and as a reader you qualify for a special discounted rate to travel by ferry to the show (see page 36 for details).