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Farmers Disappointed with Lack of Price Increases from Müller

09 August 2016

UK - Last week Müller announced it was holding its base price for September at 18.66ppl for its Müller Milk Group and 18ppl for the Direct Milk group.

NFU Cymru (Wales) President, Stephen James said that suppliers would be frustrated that they were not seeing the benefits of a market that was starting to experience positive price movements.

“Müller has been very vocal this year that it wants to be the biggest and best milk buyer in the UK, but it’s fair to say that everyone in the sector was extremely shocked to see last week’s milk price news.

"We know Muller’s farmgate milk prices remains competitive but this is only due to the continuing support of retailers with their minimum farmgate pricing mechanism, currently paying around 3ppl,” he said.

“It does make you concerned that Muller could be hiding behind the retail supplements paid by Lidl, Aldi and Morrisons, when it should be reacting to the market realities we are seeing in cream incomes, wholesale prices and volume reductions. I think this stand on milk price undermines the support retailers gave, and continue to give, dairy farmers in minimum farmgate pricing."

Farming lobby group Farmers for Action protested at a Müller plant this week following the company's decision.

TheCattleSite News Desk

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