Greek and Spanish peach canners have withdrawn initial offers as it became evident that an agreement reached with growers was not going to hold. Heavy demand from a buoyant fresh market enabled farmers to sell fruit at a premium over the levels offered by the processing industry. UK traders were taken by surprise as they may have been backfooted by their German counterparts who moved earlier to secure the new season's 1kg requirements. A UK trader told The Grocer: "We always follow the heavily discounted German market so the delay will not affect our ability to secure sliced peaches for the UK retailers." However, that UK retailers who are used to bidding down the market will have to change tack if the shortage of raw material, particularly in Greece, worsens. The latest estimate is that packers will pay 30% more for the fruit and with the crop 20% down, any respite in this cost seems unlikely. {{CANNED GOODS }}