Tesco CEO: Partnership approach vital for UK farming resilience

Tesco UK CEO called for a partnership approach to help farmers adopt low carbon fertilisers at scale, aiming to improve UK food security. The supermarket chain said the sector needs retailers and innovators to work together.

Low carbon fertilisers reduce the carbon footprint of crop production. Standard fertiliser manufacturing is energy-intensive and accounts for a large share of agricultural emissions. Switching to alternatives made with renewable energy or different chemical processes could cut supply-chain emissions for retailers and farmers alike.

The CEO's comments target the entire UK farming supply chain. Fertiliser producers face pressure to develop greener products. Technology companies that offer precision farming tools or biological fertilisers could see increased interest. Farmers would need to adapt to new inputs, which could change cost structures and crop yields.

Tesco's size gives it leverage to push for change. The retailer is one of the UK's biggest food buyers. If it prioritises suppliers that use low carbon fertilisers, it could shift procurement patterns across the industry. Smaller competitors may follow, creating a broader market for low-carbon inputs.

The push also aligns with Tesco's own net-zero targets. The company has committed to reducing emissions across its supply chain. Lowering fertiliser-related emissions is a direct way to make progress on those goals.

Challenges remain. Low carbon fertilisers currently cost more than conventional ones. Farmers already face tight margins. Without some form of subsidy or long-term offtake agreement, adoption may be slow. The partnership approach Tesco advocates would need to address cost and scalability.

Tesco said it would work with suppliers and industry groups to explore the next steps. No specific timeline or investment figure was provided. The initiative remains at the exploratory stage.