Agricultural inflation figures have leapt by 23pc in the last six months, with rapidly-rising costs now described as an "existential threat" to East Anglian farm businesses.

The AgInflation Index is generated using data from AF Group's buying office at Honingham Thorpe, outside Norwich, which sources more than £250m of agricultural goods for its members annually.

The latest estimates show the total cost of farming inputs increased by an "eye-watering" 23.28pc in the six months to the end of March 2022. This follows an increase of almost 22pc recorded in the year to September 2021.

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Prices which were already on the rise have been heightened by the impact of the war in Ukraine on world commodity markets.

Animal feed, fuel and fertiliser have seen the greatest increases at 27pc, 29.4pc and 107.7pc respectively, says the report.

No farming enterprise has been able to avoid double-digit cost inflation, says AF Group, while consumer price inflation has risen at a lower rate in the shops.

AF Group chief executive David Horton-Fawkes said that means prices paid to farmers are not sufficient to cover their increased costs - a cash flow crisis which could force some to stop production.

"The evidence in our latest Aginflation Index illustrates the crisis many farmers are facing, and the consequences will be felt by all of us in society," he said.

"The causes are deeply rooted and go beyond the appalling events in Ukraine and the continued lockdowns in China.

"Farmers are inherently resourceful, but cash flow now poses an existential threat to many businesses because some farmers simply won’t be able to afford to grow crops or raise livestock next year.

"Beyond the immediate crisis, the combination of war and post-pandemic disruption highlights the strategic imperative to secure more resilient supplies of essential farm inputs and energy and the need to develop more collaborative relationships with supermarkets and processors.

"Sadly, the most acute pain will be felt by those who can least afford to bear it, but these numbers reveal that the whole supply chain web needs to reset to secure affordable food in the UK and beyond."