Multinational grain buyer and processer Archer Daniels Midlands (ADM) has acquired Gleadell Agriculture Ltd and Dunns Ltd in a major merger to create ADM Agriculture Ltd.
Commenting on the merger, NFU combinable crops board chairman Tom Bradshaw said: “The UK grain market is fiercely competitive and the arable sector is facing many commercial challenges, so it isn’t surprising to see this kind of consolidation in the grain supply chain.
“The NFU is concerned that this merger could add extra financial pressure on arable businesses as it would massively reduce farmers’ options within the grain market, driving down competitive trading and reducing farmers’ chances to find the best price for their product.
“Although it is encouraging that international businesses are investing in the UK grain industry, the Agriculture Bill must protect British farming businesses from dominant supply chains or else it runs the risk of favouring cheaper, lower quality imported grain over home-grown crops.”
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