December 12, 2007

Dairy Crest announces milk price hikes

Farmers supplying British milk maker Dairy Crest will increase their milk products by an extra 0.4p/litre for their liquid milk from 1 December.

About 1000 members of the dairy's supply group will benefit from the increase, which the processor says will cover some of the higher costs farmers are set to face over the winter.

Arthur Reeves, Dairy Crest's milk purchasing director, said the rise reflected the increases the processor had received from its middle ground customers.

Despite the increase, Reeves said the company's strong portfolio will "benefit our milk suppliers in what could be a difficult 2008 if the recent fall in commodity returns continues into next year."