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Where to buy milk that ensures fair price for farmers?

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  • farmerboy
    farmerboy Posts: 216 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    phillo365 wrote: »
    I am confused why did the farmers sign up for a deal that meant they might have to sell below cost ?

    The reason they have to sell below COP is the contracts they are tied into. The dairy company has to give 1 months notice of a price change, but the farmer has to give 12 months to leave. These are standard contracts issued throughout the industry. The problem is the farmer has no choice, as milk is not some thing you can just store and sell at a later date, so the dairies know they have you over a barrel.
    For example if a farmer and family do all the work and live in their own property would this not reduce their costs or is a fixed wage figure being included

    All cost will be included, and it varies from farm to farm. Some will have lower capital costs as they fully own the farm and use family labour. Others will be higher due to renting the farm and using outside labour. The figures given are an industry average.
    If I stop buying milk will this help farmers or make the situation worse ?

    Depends where you buy it from really. But in all honesty EVERY supermarket is as bad as each other. Tesco, M&S, Sainsbuy's and Waitrose say they pay more for their milk, which is in part correct. They pay certain farmers who supply liquid milk above COP, but the vast majority of their dairy issle is filled with product produced from below COP milk. Cheese bought from Dairy Crest ect (24ppl to Farmer). So none of them are painting the full picture
  • farmerboy
    farmerboy Posts: 216 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Just like you are telling half the story !

    Yes - farmers do get EU subsidies - for cereals, oil seed rape etc, etc but NOT for milk.

    The contracts from the milk wholesalers give them the right to reduce prices paid to the farmers with NO notice and giving NO reason - the farmers however have to give 12 months notice to leave and sell their milk to someone else...........

    if you are going to tell a story - tell a true one !!

    One correction on the subsidies.

    EU subsidies for farmers in England are no longer linked to any food production per say. We get a flat rate per acre of ground wether thats growing grain, vegatables, weeds, or feeding cattle or sheep. For that we are expected to keep to various conditions regarding what we grow, when we can and can't cut hedges, which fields we can and can't plough, various animal health and keeping requirements, and more record keeping than the tax man requires. Failure to complie with the conditions means fines and the possible loss of the subsidy.

    The subsidy system will always be there, its a way for governments to be able to maipulate food production and keeps food costs at a reasonable level. Without a subsidy system food prices would be alot higher than they are at present.
  • Edwardia
    Edwardia Posts: 9,170 Forumite
    Just like the big dairy processors, the supermarkets dictate to most of us how and where we buy our food.

    In the town I live in of 50,000 people we have two Sainsbury's plus Lidl, Tesco, ASDA, Morrisons, Co-op, One Stop, Costcutter, Spar and several Tesco Express but only one butcher, no fishmongers, one bakery, one greengrocer and no farmer's market or Sunday market anymore.

    The biggest tools we have as consumers are our dosh and voices. If we don't like something we should explain why and not buy it.
  • im-lost wrote: »
    Ever seen a poor farmer? Says it all really.

    Milk pricesis the tip of the iceberg when it comes
    to what farmers rake in. Over all, they don't make a
    loss, those that think they do are extremely naive

    Then why have so many dairy farms gone bust over the last few years? I know plenty poor farmers. Don't confuse agribusiness with small farming.
  • yazzine
    yazzine Posts: 258 Forumite
    Popped into asda branch in barking, essex, they had a few (5 +) 1 pint yeo valley organic milk for 60p in the clearence fridge.

    HTH
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