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Cider makers fear future for orchards as costs grow

Cider makers fear future for orchards as costs grow

Producers claimed without more support, they could be forced to stop using British-grown apples.

Rising costs could force the cider industry to reduce their reliance on British-grown apples, according to several well-established businesses.

Higher alcohol duty, energy bills and packaging costs are making it harder to stay profitable, according to a producer in Somerset.

The government said it was supporting the sector by increasing the value of Small Producer Relief, which provides lower alcohol duty rates for some smaller and medium-sized producers.

Matilda Temperley, director of Burrow Hill farm near Martock, said it would be a "tragedy" to stop using its own apples due to climbing costs.

Temperley, whose farm has been growing apples for 300 years, said recent increases had added to pressures already facing the industry, adding at 6% alcohol, their traditional cider is taxed at a higher rate than mass produced cider.

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"By next February, we will have seen a 61% increase in tax on our standard 50cl bottles," Temperley claimed.

She welcomed the rise in Small Producers Relief but said other mounting costs outweighed it.

"We've got huge, energy costs, then almost a 90% increase in tax costs since 2020."

"The thing that will happen is that if you're a big cider maker, you're going to look to cut your costs and the only way…

In brief

Rising costs could force the cider industry to reduce their reliance on British-grown apples, according to several well-established businesses. Higher alcohol duty, energy bills and packaging costs are making it harder to stay profitable, according to a producer in Somerset. "We've got huge, energy costs, then almost a 90% increase in tax costs since 2020.

This is the opening of the story, shared with credit to BBC News — Business. The rest of the report — with every detail — continues on the publisher’s website.

Continue reading at BBC News — Business ↗

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