Consumers Will Pay Price for Dairy Increases
IRELAND - EACH week delivers new revelations on the commodities front, while the rapid rise in dairy prices is threatening to bring the French on to the streets.
14 November 2007
1 minute read
In the year to the end of August dairy farmers have seen a 40% rise in the price they are getting for their milk. It’s a complete about turn for a sector that has been dogged by weak prices for decades.
Global demand for cheese and other dairy products is providing the underlying price pressure as demand rises by 4% annually against an annual rise in output of just 1%.
Those conflicting figures do not add up and the implications for consumers are serious.
Adding to the problem is the 67% rise in cereal prices, and the scenario is that the consumer, who has done very well on grocery prices for the past decade at least, is facing higher prices in the decade ahead.
Source: Irish Examiner
