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Milk Buyers Must Abide by Dairy Code of Practice

22 January 2013

UK – Milk buyers must implement the Dairy Industry Code of Best Practice on Contractual Relationships in milk supply contracts without delay or face the consequences, the dairy coalition warned on Friday.

Comprised of the National Farmers Union of England, Scotland and Wales, Farmers For Action, the Tenant Farmers’ Association, the Womens’ Food and Farming Union and the Royal Association of British Dairy Farmers have all called for urgent prices rises.

The processing and dairy contingent has stated that March is a realistic time by which contracts will be improved. Gary Mitchell, NFUS milk committee chairman wishes for action before March but is clear that delays beyond this date will not be tolerated.

Farmers for Action chairman David Handley said: “Despite all of our efforts, farm gate milk prices for deliveries in January are typically only 1ppl to 2ppl higher than in April 2012."

Since then, however, costs of production have risen by 3ppl to 4ppl. Farmers need to see improving dairy market conditions translated into farm gate milk price rises.”

“If Co-ops, smaller processors or any milk buyer for that matter thinks the code doesn’t apply to them, they are wrong,” said NFU dairy board chairman Mansel Raymond.

It is the responsibility of every milk buyer to ensure the voluntary approach to improving milk contracts succeeds,”

The Dairy coalition has said it will not rest until fairer prices have been secured that ensure realistic margins on dairy farms.

TheCattleSite News Desk

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