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22/11/2011 19:11:05

Price rise needed as UK dairy farmers languish in bottom quarter of EU milk league table



The NFU dairy board has called for milk buyers to come forward with a milk price rise before the New Year.

Speaking after a meeting of the national dairy board held today (Tuesday), chairman Mansel Raymond said price rises across the board were needed to ensure farmers had the confidence and the cash to ensure the long-term future of their business.

"This summer the UK sat at the bottom of the EU price league table 4ppl below the average," he said. "Today, despite farm gate price rises of between 1ppl and 2ppl this autumn, the average UK farmer is still only seventh from the bottom of the league table and 3.25ppl below the average price.

"What’s more, prices remain below the value of milk according to key UK market indicators for milk (Milk for Cheese Equivalent - MCVE and Actual Milk Price Equivalent - AMPE).

"There is some good news. Some farmer confidence has been built over the past six months resulting from recent price rises and a strong reported demand for dairy products, in domestic and global markets. This has given farmers cause to look to the future.

"Prices are starting to move in the right direction but there is still some way to go to deliver the profits farmers need in order to invest."





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