Intervention price must increase - Dairy UK

The Chairman of Dairy UK has written to the UK Farming Minister George Eustice, to raise concerns about the rapidly increasing amount of skimmed milk powder being submitted into intervention.

Chairman David Dobbin said that despite depressed returns, the growth in global milk production, especially from Europe including the UK, is still rising and running well ahead of global demand.

“As a result, stocks of powder, butter and cheese are high and skimmed milk is being intervened across Europe, including the UK.”

He also said that if the current milk supply production profile is maintained the UK dairy industry is facing a large surplus of milk over immediate demand this spring peak.

David repeated Dairy UK’s long-held position that the UK Government should do what it can to increase intervention support.

“We are asking you to use the lobbying weight of the UK Government with the Commissioner to achieve a smooth transition re intervention at this difficult time. This would help avoid further distress at farmer and processor level and would be a positive way in which DEFRA can help the UK industry.”

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