Sainsbury's has unveiled a pioneering initiative to support its network of over 100 egg suppliers.

The Sainsbury’s Egg Group, set to launch next month, will be established in collaboration with the retailer’s three primary egg packers.

Through this initiative, Sainsbury’s aims to lead the industry by committing to always pay farmers at or above the cost of production for eggs. The supermarket hopes to offer financial stability in an unpredictable market, enabling farmers to invest in future business innovations.

This approach mirrors Sainsbury's Dairy Development Group, which was introduced 15 years ago. The new egg group is expected to enhance communication and alignment in decision-making, benefiting both farmers and consumers.

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Farmers joining the group will be asked to commit to reducing their carbon footprint, including conducting an annual carbon assessment. According to Sainsbury's, many participating farmers have already begun making strides in sustainability, such as reducing soy in feed and substituting it with alternatives like maize.

Gavin Hodgson, Sainsbury’s director of agriculture, stated that the egg group will assist farmers in transitioning to more sustainable and resilient production methods.

He commented: “We know how important eggs are for our customers but we’re also aware of the challenges facing egg farmers, such as increased production costs and sustainability targets.

“We’re proud of our history in innovating and supporting the egg industry and our strong relationships with suppliers is the key to making change.

"Last year we moved from one year to five-year partnerships with our egg supply base to give them confidence in their businesses."

This announcement follows Aldi’s recent news that it achieved its goal of selling 100% cage-free eggs more than a year ahead of schedule. The retailer worked closely with its suppliers to enhance hen welfare, ensuring that all its UK stores now offer only cage-free eggs.