The contract options include:
- A one-year fixed price contract at £30/t, for up to 65% of the contract.
- A one-year contract with a guaranteed base price of £25/t, plus a market-linked bonus for up to 100% of the contract.
- An index-linked contract (previously called ‘futures-linked’) for up to 50% of the contract.
Growers can choose to split their tonnage between any of these contract options.
The agreement also includes:
- Yield Protection contract at a £1/t reduction on the fixed and market-linked bonus contract prices.
- Transport allowance up to 60 miles for all factories.
- One year contract holiday for up to 750kt CTE, available on a first come, first served basis.
- An interest-free cash advance option, a late delivery payment, and complimentary frost insurance.
“This deal offers growers choices to suit individual business circumstances and balances challenging sugar market conditions and the increasing costs and risks of growing sugar beet here in the UK.”
NFU Sugar Board Chair Kit Papworth
Growers' choice
NFU Sugar Board Chair Kit Papworth said: “I am pleased we have managed to come to a negotiated agreement with British Sugar for the 2026 sugar beet contract.
“This deal offers growers choices to suit individual business circumstances and balances challenging sugar market conditions and the increasing costs and risks of growing sugar beet here in the UK.”
British Sugar Managing Director Keith Packer said: “As the sugar industry continues to face challenging market conditions, I am pleased that we’ve agreed a deal for all, reflecting the current situation.
“This year’s contract is the product of many months of hard work with NFU Sugar, giving growers much-needed security and certainty at what is a volatile time for farm businesses.
“We’re offering valuable options which include an interest-free cash advance, a market-linked bonus for a share of the upside when the market is favourable, and an index-linked contract for those with a greater appetite for risk and reward.”
If you have any questions, you can contact your agriculture Manager or the British Sugar Services team on 0800 090 2376 or email agriculture@britishsugar.com. You can contact NFU Sugar at nfusugar@nfu.org.uk or call the NFU Sugar helpline on 0370 066 1974.