The Competition and Markets Authority has warned that a planned deal between a Scottish poultry feed supplier and another feed firm could lead to higher costs for farmers - and says it could launch an investigation into the deal.
ForFarmers and Edinburgh-based 2Agriculture - part of Boparan's 2 Sisters Food Group - are planning to combine their animal feed milling operations in a joint venture including 18 mills across the UK. Both firms manufacture and supply chicken and other types of poultry feed.
The CMA has now completed its Phase 1 investigation and says it has found the deal raises competition concerns in four areas across East Anglia, the North West of England, and North Wales. It says the merger "could lead to higher prices for poultry feed, lower quality feed or worse quality of service".
