Pilgrim’s Europe launched Pig Farmers’ 20-year contract model with the aim of supporting long-term financial security and farm investments.
The new offers from meat processors illustrate a major step in shaping how farmers engage with the pork supply chain.
Long-term contracts designed for those looking to build new facilities or convert existing operations into pig units are set up to reduce the financial risks of expanding new entrants and producers.
Pilgrim’s says the offer is at a pivotal time for UK agriculture and there is a new optimism across the pork sector.
Fabio Brancher, Agricultural Director of Processors, said: “The UK pork industry is being formed to experience the positive 2025 2025 following the uncertainty over the past few years of feed prices and market volatility.
“The momentum we have shown so far offers a great opportunity for farmers looking to innovate or diversify their income.”
He described the 20-year contract offering as a “basic change” in the company’s approach to farmer relationships.
“This isn’t just about securing supply. It’s about creating a sustainable and profitable future for British pig farming that benefits farmers, processors and ultimately consumers who want high-quality, trackable UK pork.”
Europe, a pilgrim who handles more than 2.2 million pigs each year across the supply chain, uses its size and reach to address what has been seen as a long-standing problem in the sector.
According to Brancher, one of the biggest issues was short-termism in a capital-intensive industry.
“Traditional contracts usually run for three to five years, but modern pig farming infrastructure requires a 15 to 20 year payback period.
“This discrepancy has created chronic shortages and a lot of uncertainty,” he explained.
The company’s new model will provide up to 15 pounds of pigs per batch per contract period, helping to help repay the loan and provide predictable income.
The arrangement includes management fees and performance bonuses, ensuring that farmers make profits over the entire 20-year term.
Brancher said: “This new arrangement will significantly reduce the economic risks for existing pig farmers or those seeking to diversify into pig production.
“Farmers get predictable income and loan support, which is rare in agriculture.
“With 20 years of commitment, they can confidently plan long-term improvements and investments.”
Interested farmers should contact Pilgrim Europe directly to inquire about details or participation in the scheme.