New auditing requirements to cost growers 'extra £60m per year'

British Berry Growers said the new auditing changes were "simply unsustainable"
British Berry Growers said the new auditing changes were "simply unsustainable"

New auditing requirements could cost the UK berry industry an extra £60 million per year, the sector has warned.

Controversial changes have been proposed from the Supplier Ethical Data Exchange (Sedex) to its audit regime 'SMETA 7.0'.

These could force growers to pay for the recruitment and transportation fees of the seasonal workers they employ in a so called ‘employer pays principal’:

British Berry Growers said the changes were "simply unsustainable" and could "wipe out the berry sector at a stroke".

The industry body represents 95% of all British grown berries, which include strawberries, raspberries, blueberries, blackberries and cherries.

Berry growers employ thousands of seasonal workers each year to help pick berries and work on farms.

But Nick Marston, chair of British Berry Growers, said the new SMETA 7.0 auditing requirements could cost the sector an extra £60m per year.

“The new requirements have been introduced without proper consultation," he said.

"There is no clarity on how the supply chain is going to pay for these new requirements, we are very concerned that growers could be forced to foot the bill."

The changes come ahead of a British Retail Consortium (BRC) and Defra impact assessment into the workability of the employer pays principle, due to be completed in 2025.

Responding to it, British Berry Growers said the current requirement for the employer to pay for travel and visa costs must be removed from the SEDEX 7.0 audit.

It added that the BRC must also confirm that no action would be taken if suppliers did not meet these targets.

Mr Marston concluded: “The burden of the cost cannot be absorbed by our members without the cost being underwritten by either retailers or the government.

"There are serious implications for the UK food price inflation and security.”