FOOD suppliers have hit back at claims by Tesco's chairman that they are using high inflation as an excuse to raise prices unnecessarily.

Food and farming chiefs have said they were baffled by suggestions from the boss of Tesco that some food firms may be using inflation as an excuse to increase prices further than necessary.

Its John Allan, when asked by the BBC’s Laura Kuenssberg if food producers were taking advantage of the poorest in society, said it was 'entirely possible'.

Mr Allan, chairman of the UK’s biggest supermarket chain, added that the company had 'fallen out with suppliers' over price rises and was 'trying very hard to challenge cost increases'.

NFU Scotland President Martin Kennedy said the comments from the Tesco chair had 'gone down like a lead balloon with farmers and crofters.

Mr Kennedy said: "with many interpreting his views as pointing the finger of blame on rising food prices at those working day in, day out, to provide the raw materials that keep his shelves stocked.

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“Ag inflation is at unprecedented levels and the primary producer is the first in the supply chain to feel the effects. Confidence around fairness in the supply chain is already extremely fragile and comments like these certainly don’t help.

“The UK’s largest retailer, Tesco, will have an early and ideal opportunity to clarify those comments in relation to primary production when its Agriculture Manager, John Kirkpatrick, takes part in the ‘Farm Gate to Dinner Plate’ session at our Conference in Glasgow on Thursday, February 9.”

The Food and Drink Federation (FDF) called his comments 'difficult' and said the suppliers it represents had seen a massive rises in their cost base.

FDF boss, Karen Betts, said supermarkets were already very tough on suppliers. "Most supermarkets are asking suppliers to open their books to justify exactly line-by-line where the cost increases are coming in," she said.

"So I think it is difficult for Tesco to come out and say they think companies might be profiteering."

The retailer was caught up in rows with Heinz and Mars Petcare last year over proposed price increases, leading to the sale of some products being halted in stores. In the end, Tesco and Kraft Heinz reached an agreement and the products returned.

Ged Futter, a former senior buyer at supermarket, Asda and now a retail analyst, said Mr Allan's comments were 'outrageous'. He said that some retailers had been raising their prices above the rate of inflation, which was 10.5% in December.

"So I would say it is quite disingenuous to be talking about suppliers profiteering at this time," Mr Futter added.

Commenting on Mr Allan's views, Minette Batters, president of the National Farmers' Union, said 'it is almost like he was living in a parallel universe'.

She added: "We're seeing a wholesale gas price 650% higher than it was back in 2019 and the cost inflation on the back of that has been absolutely unprecedented. That has dwarfed any price increases to date."