Dairy Crest announces that it will reduce the milk price it pays to its Davidstow farmers by 0.5ppl from 1 February 2019.
In September 2018, the Company introduced a supplementary payment of 0.5ppl to reflect feed shortages caused by the extreme weather conditions. Since then, the situation has improved. This additional payment will therefore be withdrawn from 1 February 2019, bringing the overall price paid to farmers at that date to 29.9ppl*. These changes have been agreed with Dairy Crest Direct (DCD).
“We have provided our farmers with both visibility and certainty over the past six months by maintaining a steady milk price and introducing a milk price floor until the end of January,” said Chris Thomson, group procurement director at Dairy Crest.
“While this move will be disappointing for our farmers, we always aim to pay a fair, competitive price for our milk and, even with this reduction, our price remains higher than many other dairy companies.”
DCD Chairman, Steve Bone, said,“We have been keeping a close eye on market developments and, therefore, this reduction in price is not unexpected.”