Speaking in the Chamber this week Montgomeryshire AM Mick Bates called for more action by the Minister Elin Jones to ensure dairy farmers in Wales get a fair price from supermarkets in return for their produce and to ensure that school milk is sourced in Wales to help strengthen the dairy industry.
According to a recent report by the NFU ‘The Great Milk Robbery’, the total revenue to processors from dairy commodities in May 2010 was £19 million higher than in May 2009, which equates to an average increase of 4.3 pence per litre.
Commenting Mr Bates said:
“I am deeply concerned that despite the substantial rise in revenue to processors from dairy products over the past year of £19million, which equates to an average of 4.3p per litre, this price is not being reflected in the farmgate milk prices.”
In response to questioning from Mick Bates AM the Minister stated that ‘the more that we strengthen the supply sector in Wales, and encourage as much collaboration as possible within that sector, the greater its strength in negotiations with retailers.’
“I am pleased that the Minister understands that the sustainability of the dairy sector relies on the increase in milk prices being reflected in the price paid to farmers” adds Mick. “I hope that alongside the new Dairy Supply Chain Efficiencies Project the Minister will also focus on ensuring that dairy farmers in Wales get a fair return from the supermarkets, which would greatly improve the health of the Welsh dairy sector.
“It is also important to increase the procurement of Welsh produce and an issue close to my heart is school milk. We need to ensure locally sourced milk is given to Welsh schoolchildren when they have milk in school, rather than importing milk when we have an excellent dairy industry right here.”
