Dairy farmers group makes plea over milk price

AN IMPORTANT group of dairy farmers spoke up against milk prices this week, in the form of declaring a "New Year objective" of "a minimum price of 27p a litre to be delivered as soon as possible".
By The Newsroom
Published 7th Jan 2011, 14:58 BST
Updated 7th Jan 2011, 14:58 BST

The statement from Dairy Crest Direct, suppliers to one of the country's biggest milk processors, was seen as significant in view of the reluctance of farmers to criticise their buyers, even obliquely.

It said: "The DCD Board is urging Dairy Crest to highlight the need for a more sustainable milk price with customers across all sectors."

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DCD chairman David Herdman said milk not covered by supply contracts for the leading supermarkets was earning less than 25p a litre, from Dairy Crest and its main rivals – below equivalent prices in the rest of Europe, USA and even New Zealand, and well below costs. He added: "The sustainability of a large proportion of the British dairy supply chain is in jeopardy unless action is taken."

NFU dairy board chairman Mansel Raymond said: "Dairy Crest Direct is showing real leadership. I have been concerned at the lack of any visible or public challenge to the milk price situation by any farmer representative. I look forward to others."

Dairy Crest's milk buyer, Mark Taylor, said: "We sympathise and we do pass on the messages."

CW 8/1/11

Related topics:New ZealandEuropeUSAMark Taylor