Britain's 20-year binge on cheap food is coming to an end as food price inflation could hit double digits due to a wave of soaring costs throughout the supply chain, Britain's biggest chicken producer said.
"Food is too cheap," Ranjit Boparan, who is known as the "Chicken King" and owns the 2 Sisters Group, was quoted as saying by The Times newspaper.
"In relative terms, a chicken today is cheaper to buy than it was 20 years ago. How can it be right that a whole chicken costs less than a pint of beer?," Ranjit Boparan said.
"You’re looking at a different world from now on where the shopper pays more," he added.
Mr Boparan warned that prices will jump by more than 10% as he said the days of a £3 chicken are "coming to an end".
He said higher prices were inevitable because of inflationary pressures throughout the supply chain.
UK food prices rose by 0.2% in annual terms in August, according to official consumer price data, breaking a nine-month run of declines.
He said the industry needs customers to recognise "transparent, honest pricing".
"The days when you could feed a family of four with a £3 chicken are coming to an end," he added
The company highlighted that the business's 600 farms and 16 factories have witnessed energy costs more than 450% higher than this time last year.
It also said feed costs at farms have risen by 15%, with commodity costs in the farming process also rising by around 20%.
Meanwhile, the shortage of HGV drivers has also resulted in wage inflation as logistics firms seek to poach talent with higher wages.
2 Sisters is also among companies to have been hit heavily by the shortage of CO2 caused by soaring natural gas prices.
Although the British government secured that supply after significant disruption, the company said the price of CO2, which is used for packaging and poultry processing, has jumped by up to 500% in just three weeks.