CF Fertilisers, one of the main producers of food-grade CO2, is to shut down due to soaring energy costs. The company have announced they are halting production of ammonia at their Billingham factory.
The food grade CO2 which is used in the brewing and hospitality industries is produced as a by-product of ammonia production. It is used to stun pigs and chickens for slaughter, packaging, and for dry ice that keeps items frozen during delivery. CF Fertilisers stopped production last year before reaching an agreement with the UK Government after the closure created severe shortages across the food-supply chain.
Emma McClarkin, Chief Executive of the British Beer and Pub Association, said “the timing of this news couldn’t be worse”.
“This news raises serious concerns for the sustainable supply of CO2 to the brewing and pub industry,” she said.
“A guaranteed supply is essential for operations across pub and brewing businesses and this announcement comes at a time when they are already facing extreme cost rising that are threatening businesses and people’s livelihoods across the country. We urge the Government to urgently convene stakeholders to ensure there is a reliable supply of Co2 to our industry and others that depend on it.”