Shropshire farmers reeling at new price cut blow

The company announced that following a drop of 1.5 pence per litre in its March milk price, there will be no further cuts to the price farmers receive before July.

But Shropshire farmers and action group Farmers For Action (FFA) have said they are "flabbergasted" by the news, leaving the community in desperation.

FFA leader, David Handley, said: "It has got to the point where we are in desperation.

"We had the announcement on Friday and we were straight in over the weekend protesting.

"We want to send a message to Dairy Crest but we also want to send one to Muller – we have heard that they could be cutting it by as much as two pence.

"The promise of no more cuts before July is no comfort at all. It means that after the most expensive three months of the year, we can expect even bigger cuts in July.

"It is just when you need the money to pay the bills that they sit back in arrogance and think they're doing us a favour.

"We will await the announcement from Muller and we will not go to protest unless it is justified.

"But if they make the cut they have to be prepared to take the pain."

Dairy Crest, along with Dairy Crest Direct said it hopes its announcement will guarantee a period of stability for farmers. Farmers will now receive between 23.2ppl and 25.1ppl depending on which contract they have with the firm.

Andrew Bebb, who farms at Hanwood, near Shrewsbury, said he was shocked by the news.

He said: "I am flabbergasted to be quite honest. We thought the situation was getting better, but it clearly isn't. And it will probably just cause other processors to do the same – the price could be in freefall."

Mike Sheldon, of Dairy Crest, said: "During this challenging time for British dairying, Dairy Crest is leading the industry by introducing a price floor until July.

"We want to provide as much stability and certainty for our supplying farmers as we can. We hope that by the summer markets will have recovered and we can reflect this in our milk price to farmers."

The National Farmers Union has said that "limited comfort" can be found in the news.

Regional director Rob Newbery said: "While the prospect of a further 1.5 pence per litre cut to the milk price will not be welcome news; the promise of no further cuts before July will offer limited comfort."