August 25, 2011

Wiseman Dairies to lift farm-gate milk cost

Robert Wiseman Dairies will raise the farm-gate milk price it offers to its Wiseman Milk Group farmer members by 1.85 pence per litre (ppl) beginning October 2011.

Wiseman will have increased its milk price by more than 4ppl since May 2010 once the new price is implemented.

The higher price reflects continuing strength in commodity markets and the company's need to maintain its competitive positioning so that it can secure the supplies required to meet demand over the winter.

The move was welcomed by Scottish dairy farmers who hoped that other milk buyers would soon follow with similar price rises.

Pete Nicholson, Wiseman's milk procurement director, said: "If we are to meet our commitments to customers who require a long-term, sustainable supply of fresh milk, it is important that we act to ensure that our farm gate milk price is competitive against a backdrop of higher prices being offered by cheese manufacturers."

In the rough ring 37 beef cows averaged 143p, while 45 dairy cows levelled at 120p.