The introduction of the National Living Wage (NLW) is putting the future of British fruit farmers at risk and threatens to wipe out 58% of growers' profits, according to a new report.
Wimbledon 2016 will mark a huge change for British strawberry farming, with more than 140,000 servings sold during the season every year.
But a report by Beacon, which represents independent businesses, said the traditional strawberries and cream could soon become a lot more costly.
Suppliers expect the price of strawberries to rise this year due to the pressure of the NLW on British farmers, with some predicting the closure of British farms as it becomes an unprofitable operation.
A recent National Farmers Union (NFU) report states that the impact of the NLW could see growers lose up to 58% of their profits immediately and over the next four years cost fresh food businesses up to 158% of current business profit, making strawberry growing completely unprofitable for British farmers without additional Government support.
The situation echoes the seriousness of the ongoing milk price row last year when many dairy farmers were forced out of business after having their margins eroded by major retailers.
Other fresh produce farmers will also be affected by the change to NLW, with labour intensive farming industries likely to suffer the most.
Farmers of salad essentials including lettuce, cucumber, peppers and cherry tomatoes are particularly under threat due to the impact of the NLW combined with rising production costs and supermarket price wars.
'Industry has been hit hard'
"We represent many domestic, independent growers and the industry has definitely been hit hard by the introduction of the NLW," said Marcel Roberti, Foodservice Sales Director at Total Produce.
"It’s hard for growers to see what more they can do, with many cutting overtime, considering the introduction of mechanisation in production and improving harvesting efficiency in any way they can.
"Our growers are telling us that strawberry profitability looks to be very badly affected by this new wage rate."
Paul Connelly, Managing Director at Beacon, said: "It seems that strawberry fields may not be forever in the British countryside.
"Our suppliers are warning that the landscape of soft fruit farming and fresh produce is under threat with the possibility of cheaper foreign imports replacing British produce on supermarket shelves and on restaurant menus.
"We are working with our suppliers and customers to provide context to any price rises they might have to pass through and agree with the NFU in calling for the Government, and the wider supply chain, to support our fresh produce farmers through these wage changes."
