Dairy Crest agrees to milk price rise
Tuesday 25 September 2012
Dairy Crest has become the latest processor to raise the price it will pay farmers for their milk, having been the subject of blockades at two of its dairies back in July.
The company said it would raise the price it pays to farmers to 29p a litre for liquid milk and for making Davidstown Cheddar from 1 November. It also scrapped a planned price cut in August.
On Friday, Tesco said the 700 dairy farmers that supply its own-label non-organic milk would be paid up to 31.58p a litre from 1 October, a rise of just over 2p a litre, and early this month Arla Foods raised its rate by 2p a litre.
Dairy Crest said the lengthy negotiations would be partly responsible for a fall in first-half profits but said it still expected the full-year result to meet City forecasts.
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