Shropshire Star

New milk price cut blow for Shropshire dairy farms

A new cut to the price paid to farmers by one of the country's major dairies is a crippling blow, a union official has said.

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First Milk says it will cut its milk price again from the start of September, slashing 0.2 pence per litre for some farmers, and 0.3ppl for others.

It is the latest in a long line of cuts to the price paid to farmers for their milk and adds to the pressure being felt by Shropshire's hard-hit dairy farmers.

Rosie Maltby, the NFU's national dairy adviser, said the latest cut was a major blow to the country's producers.

"It's another disappointment, it will be crippling for First Milk suppliers and that's the ongoing problem," she said.

"There are concerns this is another downward trend, but we are aware First Milk are holding meetings with members, and it's really important for farmers to go to those meetings and find out more about their plans for the future, and how they plan to help return a sustainable price."

She added that another major dairy processor, Arla, which has an operation packaging cheese in Oswestry, was similar to First Milk in that it announces its prices shortly before the start of the month.

In September, Arla will maintain its milk price at its current level, having delivered reductions in June, July and August.

"We need to be cautious about how we approach that, but it will be a relief to some farmers," Ms Maltby added. "Even a hold is a relief to some farmers."

First Milk chairman Sir Jim Paice said: "The First Milk Board met yesterday and we discussed the progress of our turnaround plan and the current markets.

"We will be updating members on these topics at the nationwide round of meetings.

"However on account of dairy product prices remaining very weak, the September A price will reduce by 0.2ppl for our balancing milk pools and by 0.3ppl for the manufacturing milk pools."

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