Blow to farmers as Muller Wiseman in new milk price cut
Farmers have received a fresh blow after dairy giant Muller Wiseman revealed it is once again slashing its milk prices.
Shropshire's biggest dairy has announced the price it will pay farmers for milk from January 10 will drop by 1.2 pence per litre (ppl) to 25.90 ppl.
It comes as campaign group Farmers For Action (FFA) is due to stage the latest in a series of blockades outside the Market Drayton-based dairy from 8pm tomorrow.
FFA says the dairy industry is in a desperate state and could worsen if milk prices do not improve soon.
Farmers will meet tomorrow at Market Drayton Agricultural Centre at 8pm and are then expected to head to Muller Wiseman to join a blockade.
The dairy firm says the latest reduction results from a continuing imbalance between the supply of milk from farms and demand for dairy products, both in the UK and around the world.
Martin Armstrong, head of group milk supply for Muller UK & Ireland Group, said: "Muller continues to make strong progress in the UK and is investing heavily to develop demand for British milk in the dairy categories which it serves.
"We will continue to offer a leading farm-gate milk price and our price from January reflects this commitment.
"Returns from sales of cream and butter remain depressed due to high levels of supply at a time when demand is weak."
FFA has been taking part in a series of protests around the country over the last couple of months after dairy processors, including Market Drayton-based Muller Wiseman, slashed the price they pay farmers for milk.
FFA is also unhappy that the German firm has recently agreed an £80 million deal for the dairy operations of Dairy Crest, subject to approval from the competition authorities.
The agreement will also see 700 farmers move their supplies to Muller, while remaining on the contracts agreed with Dairy Crest, bringing the total number of UK farmers selling their produce to the yoghurts giant to around 2,000.
Paul Rowbottom, FFA member, said: "They say there is no money in the industry yet they pay all that money for Dairy Crest. People just don't seem to be bothered about the jobs and I think more and more people will pack it in."