Milk Prices Paid To Farmers Are Going Down
NEW SOUTH WALES, AUSTRALIA - A survey of dairy farmers shows the milk price war which began on Australia Day has left the industry in NSW more than $15 million out of pocket.
6 October 2011
1 minute read
NSW Farmers Dairy Committee Chair, Terry Toohey, says the results show milk prices paid to farmers have
dropped by an average 1.4 cents per litre.
“Most of the 60 members we surveyed, who have recently renegotiated contracts with processors, say they
were forced to accept lower prices for their milk,” he said.
“The survey results show the average price paid to farmers for a litre of milk has dropped from 47.7 cents last
year, to 46.3 cents this year.
“The two major supermarkets have repeatedly claimed that dairy farmers wouldn’t be adversely affected by
their aggressive discounting tactics, but our figures are proof those claims are wrong.
“Dairy farmers in NSW produced a billion litres of milk last year according to Dairy Australia, so we’re
expecting losses this year of more than $15 million,” he said.
Mr Toohey will present the details of the NSW Farmers survey when he gives evidence to the Senate inquiry
looking into the impact of supermarket price decisions in Melbourne today.
“The market power of the supermarkets must be restrained to ensure the sustainability of the dairy industry
into the future,” he said.
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