Rebecca Evans AM, Assembly Member for Mid and West Wales, has quizzed the Minister for Natural Resources about the efficacy of the Dairy Industry Voluntary Code of Practice during Ministerial questions in the Senedd.
Mrs Evans asked the Minister for Natural Resources, Alun Davies AM, for details of his discussions with the Westminster government on this issue, asked for his assessment of how well the code is working, and asked whether he thought it was time for the UK Government to legislate in this area.
Mrs Evans’ questions came following the news that Arla has announced that it is dropping the price it pays farmers for milk.
The voluntary code of practice was introduced in 2012. One of its key aims was to give dairy farmers a 30 day notification period before any price change. The decision by Arla to drop the price with less than a week’s notice has meant that the effectiveness of the voluntary code has been called into question, prompting the Farmers Union of Wales (FUW) to call for legislation.
Speaking in the Senedd, Mrs Evans said:
“The FUW has expressed concern that the Dairy Industry Voluntary Code of Practice is not working fairly for farmers, and Dairy Crest has said it is not working for processors either. Both have particular issues insofar as the 30 day notice of price changes is concerned.”
The Minister responded:
“I do not think that it is time to legislate at the moment.
“I would say to them (the Farmers’ Unions) that we have a structure in place within the dairy code where a review is currently taking place.
“It was established in September two years ago with a commitment to review the workings of that code within two years. Alex Fergusson—not the former football manager, but the single Conservative Member of the Scottish Parliament for Galloway—is leading that inquiry. He will report in due course on the effectiveness of the code and I will consider our position when we have had that review. I have to say to those people who are making these comments that the dairy code is reviewed on a regular basis in Wales by way of our dairy taskforce and it has not been raised as an issue by any of the farming union representatives at those meetings.”