NFU dairy board Chairman, Mansel Raymond, and NFU President, Peter Kendall, have described the 'massive failure' of the UK milk markets to operate properly as a 'disgrace', an 'outrage' and a 'scandal'.
Mansel Raymond went on to say that the main problem was with manufacturing contracts. The global market indicators were 'very positive' with cheese, butter and powder trading between 28 and 30ppl. reflected in milk being delivered into the Westbury Dairies plant at 29ppl. The best Uk liquid milk contracts are currently approx 28ppl.
However Mr Raymond reported that some people on the lowest manufacturing contracts are seeing less than 24p which he said was unacceptable.
He went on to suggest that UK manufacturing prices need to rise by around 5ppl to lift them above the world market price and that there was a growing case for dedicated supply chains for manufacturing milk, as well as liquid milk.