Sainsbury’s Gives An Extra Penny Per Litre – Straight Into Farmers Pockets

FARMING UK - Sainsbury's announces today it's continued commitment to the UK dairy industry – and raises the farm gate price it pays to farmers by one pence per litre.

27 June 2007

2 minute read

Europe

Milk farmers will receive the extra cash immediately, but with no extra demands being made upon them. This is part of an annualised investment of £20m into the liquid milk business.

Justin King, Sainsbury's Chief Executive, said: "370 farmers in Sainsbury's Dairy Development Group will receive an extra penny per litre which they'll benefit from immediately, with no extra complication.

This change is a direct result of Sainsbury's listening to the Dairy Development Group members and forging close relationships with farmers."

Gwyn Jones, NFU Dairy Board Chairman said:

"By delivering immediate financial support to farmers, they have demonstrated they are serious about supporting farmers and paying fair prices. This is a direct result of really listening to farmers through the Sainsbury's Dairy Development Group."

David Hanley from Farmers for Action said: "Farmers for Action welcome Sainsbury's move. It clearly shows we have a retailer who is prepared to listen to the current worries of Dairy Farmers and that this should be a message to all other retailers and they should take a lead from it."

Sainsbury's also announces that 260 cheese producers are to join Sainsbury's Dairy Development Group, this follows it's announcement that it is the only supermarket to insist that Cheddar and all it's territorial cheeses, such as Red Leicester, Double Gloucester, Lancashire, Cheshire must be produced by milk from their respective regions.

Suggested by the Sainsbury's Dairy Development Group members - the new initiatives include multi-million pound investments and support from Sainsbury's.

Sainsbury's pledges to help farmers plan their long-term environmental impact through carbon footprint audits. In addition there will be support for animal welfare – and the retailer will employ independent consultants to give farm support and advise on herd health and animal husbandry.