Milk processors either “Go big or get crucified”

Posted on: 27/05/22

Yes 4ppl July 1st increases to take standard litre prices to circa 46ppl plus one needed and should be commonplace.

As one processor commented we either pay it to keep pace with the likes of Arla or get crucified.

Kite consulting back in early April stated milk prices need to be over 50ppl to reverse the continual drop in GB milk output.  Even if 50ppl plus prices materialise this is a juggernaut to turn it around and it will be into 2023 before that can be reversed to fill the void in milk output.

The number of farmers quitting in 2022 is now worrying coupled with the lack of enthusiasm from those remaining to push on.  If this situation continues how long will it be before another Dairy is closed and processing is rationalised particularly in the liquid sector?