Dairy farmers are being told to expect further falls in milk prices, prompting concerns that many may soon decide to leave the industry.
The country’s biggest milk co-operative, Arla, has announced it will cut the price it pays its UK members by 0.80ppl. However, many dairy farmers in the East Midlands receive far less than this for their milk.
National Farmers Union’s National Dairy Board Chairman, Rob Harrison said: “Dairy farmers across the UK are struggling right now and it’s not getting any easier. The market outlook for the rest of the year and into 2016 is not positive so we’re in for an extremely difficult autumn and winter.”
Nottingham farmer, Nigel Kirk, who owns Plainspot farm, Brinsley, has noticed a dramatic fall in price over the past year.
He said: “At the moment we’re doing 3000-3500 thousand litres a day, which a year ago would have been worth £1000 sold off the farm. At the moment it’s 19p so that will be worth around £600.”
Video: Nigel Clark, farmer at Plainspot Farm, Brinsley
In the East Midlands, there has been a drastic fall in the number of dairy farms in the last 10 years; nearly 40 per cent of dairy farmers in the region have gone out of production.
In 2005, there were 947 in the region, today that figure is just 594.
NFU East Midlands’ Dairy Board Chairman, Brian Dalby, who farms near Lutterworth, Leicestershire says: “Every day I hear from farmers who are making a massive loss on every litre of milk they produce and at the same time the bills keep mounting up”.
He believes that the situation is incredibly serious for many dairy producers and one that has left many farmers wondering about their future.