Market forces

While the rest of the economy languishes in a state of recession, the likes of Tesco, Asda and Morrisons appear to be immune from the slump.

Their market dominance has been at the expense of many traditional high street stores. Their growth has also been achieved on the back of Britain's farmers and growers; many of whom have seen their incomes squeezed because of the hard bargain driven by the leading supermarkets.

The plight of Yorkshire's dairy farmers is indicative of this. Their incomes have plummeted – but there has been little correlation between the drop in prices at the farm gate and the prices charged on the supermarket shelves. It is precisely this kind of discrepancy that the newly-created ombudsman will have to referee. The issue is whether the appointee will have the power to do so, given the extent to which the large grocery retailers sought to defy the Competition Commission when it attempted to put in place voluntary undertakings to protect the interests of suppliers.

If Britain is to become more self-sufficient, the principle behind Environment Secretary Hilary Benn's new Food 2030 strategy, farmers are going to require a new deal so they can produce high-quality produce at affordable prices.

However, this will only happen if the supermarkets act fairly at all times. Judging by their profit levels, money does not appear to be an issue, or excuse, for any further intransigence on their part.