Midlands farms in crisis as milk-buying firm goes bust

Up to 40 dairy farms from across the Midlands have been plunged into crisis after a major milk buyer and processor went bust, owing them thousands of pounds each.

Devon-based Farmright had contracts with between 35 and 40 farms in the region, including some in Shropshire.

Administrators Grant Thornton have been called in to salvage the business but bosses are resigned to losing the milk buying operation. Farmers at 90 sites nationwide were today desperately trying to secure new contracts.

Farmright was one of a number of firms which buy milk from farms to sell on to large-scale producer.

Grant Thornton said the 90 farms were owed a total of £5 million.

John Mercer, regional director of the National Farmers' Union, said many of the farms to have lost out were in Staffordshire, but some in Shropshire had been affected.

"It's very sad news that will have a devastating impact on many people," he said."

Helen Fern, who runs family business GM & HJ Fern, in Penkridge is owed thousands of pounds for six weeks' worth of stock. She has managed to secure a deal with a new company for future milk sales, but said she feared for other farms if they were unable to strike a quick deal.