Just two days before Christmas, dairy farmers supplying Arla have been hit with another price cut. This is a yet another severe cut which will be devastating for dairy farming families over the festive period and will severely affect confidence in the industry.
The European farmers’ co-operative will cut its standard litre milk price by 2.03 pence to 24.81p a litre from January 5, 2015.
This follows a 1.63 pence price cut on December 1.
NFU President Meurig Raymond said: “I feel desperate for those 3,000 dairy farmers supplying Arla who’ve been delivered the worst possible Christmas present. It couldn’t have come at a worse time and this latest reduction will continue to place huge pressure on cash flows for these farmers in the months ahead. It is vital that we don’t see this trend continue through other processors’ February price announcements.
“For the first time producer numbers have dipped under 10,000 with 60 going out of business in November alone. We will continue to put pressure on Government, retailers and the processors with the aim of trying to rebuild an economically sustainable dairy industry. We cannot emphasise enough how awful this downward spiral has been for the dairy industry in the UK.”
NFU dairy board chairman Rob Harrison said: “Today’s announcement from Arla is yet another body blow for the industry and will further devastate dairy’s bottom line.
“But despite this news, dairy farmers across the country, including myself, will continue to provide the nation’s milk – working 52 weeks a year, without a break, and yes, even on Christmas day we’ll be up and in the parlour at 4am before being able to spend some precious time with our children and families.
“All we ask is that the public continues to buy British dairy products over the festive period, including British cheese, look out for the Red Tractor logo and continue to back British farming.”
