The Rt Hon. Robert Halfom MP visited growers in the Lea Valley recently and heard that between 60 and 70% of the region’s greenhouse crops remain unplanted as high energy costs and a lack of labour make them uneconomic, according to a report on Hortidaily.
“Approximately 60 to 70% of the growers in Lea Valley haven’t planted yet, whereas they would normally plant in January”, said Lee Stiles, secretary with the Lea Valley Growers Association. “It just doesn’t make financial sense to plant.”
The region, which is home to around 100 growers and 350 acres of production is sometimes known as the UK’s salad bowl, but this year many of the greenhouses remain empty. “The gas price and the lack of workers make it impossible to grow,” continued Lee. “Some growers are looking to possibly start a crop next month, but with the gas price changing daily, they can’t fix a price at the moment. It’s too much of a gamble.” Leaving the greenhouse empty also costs money, Lee explains, “But you’ll probably lose more money if you plant. Economically it makes sense to do nothing, which sounds rather counterintuitive.
“No one seems to be able to achieve higher prices to fresh produce. Retailers don’t want to pay that for local production. Their attitude has always been ‘If you can get it cheaper somewhere else, get it there.’ We can grow year-round under LED lights, but with increased costs. Yet, retailers haven’t been willing to pay, which is why we always stopped during winter and imported from abroad: it’s cheaper from Morocco. Now, the same situation occurs continuing to grow doesn’t make economic sense with the overhead costs going on and the price remaining static. Margins are simply eroded,” Lee continues.
Photo source: Lea Valley Growers