Big bacon and sausage demand sees Cranswick hit record highs

The group, which was started by farmers in the early 1970s to produce pig feed, said sales grew by 22 per cent to 740 million in the year to 31 March. Pre-tax profits rose to 43.8m from 34.7m a year earlier.

Cranswick said sales of cooked meats rose by 13 per cent, sausages by 23 per cent and bacon by 61 per cent, which vindicated its decision to invest in these categories in recent years.

Consumer spending on such products looked set to continue this year because of the "value and versatility" of pork, the company said in a statement.

The firm, which boasts supply contracts including to the Sainsbury's Taste the Difference range, expanded its business during the last year with the acquisition of family-run Bowes of Norfolk in a 17.2m deal.

As well as providing pork for Tesco's Finest, standard and value ranges, Bowes supplies the UK's main meat manufacturers that make hams, pies, sausages, bacon and processed meats for major retailers and restaurants.

Stripping out the impact of the deal, Cranswick sales still rose by 11 per cent.

The group, which is based in East Yorkshire, is poised to launch a range of charcuterie products under the Jamie Oliver brand in the autumn.

It added that pig prices during the second half of the financial year eased from the highs seen last year but were now firming again.

Chief executive Bernard Hoggarth said: "The continued price competitiveness of pork against the other major proteins including beef and lamb should also ensure that demand for pork remains strong and that prices remain relatively firm."

The group has approved several large capital projects to ensure that it has the production capacity to deliver further growth. This includes the expansion of its air-dried bacon facility at Sherburn, West Yorkshire.

It also plans to extend its Lazenby's sausage factory in Hull so that it can meet peak volumes in the barbecue season and over the Christmas period.