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Milk dispute: Dairy farmers in third night of protests Milk price protests: Ministers to host dispute talks
(about 6 hours later)
More than 2,000 farmers are taking part in protests over the prices they are paid for milk, a campaign group says. Ministers will host talks between dairy farmers and milk processing firms later in an attempt to resolve the dispute over prices.
Members of Farmers for Action have staged a series of blockades at milk processing plants since Thursday over prices some supermarkets pay suppliers. The farming minister at Westminster, Jim Paice, will lead the meeting at the Royal Welsh Show in Powys.
Protests are now under way in Somerset, Shropshire and Worcestershire. Farmers for Action said more than 2,000 farmers took part in blockades in Somerset, Shropshire and Worcestershire on Sunday over the prices they receive.
Defra says the protests are "not the way forward", as government ministers prepare to meet dairy farmers on Monday to discuss the industry's future. Defra said the protests were "not the way forward".
Environment Secretary Caroline Spelman and farming minister Jim Paice are set to meet farmers at the Royal Welsh Show, in mid Wales, where an FFA demonstration is also planned. 'Profitable and sustainable'
Meanwhile, Wales's deputy Agriculture Minister Alun Davies held talks with Mr Paice on Sunday night, along with ministerial counterparts from the Scottish government and Northern Ireland Assembly. The meeting will include representatives of the National Farmers' Union and the trade body for milk processing firms, Dairy UK.
Mr Paice has discussed the issue with his Scottish and Welsh counterparts, Richard Lochhead and Alun Davies.
He has suggested that an independent adjudicator could be created to oversee any voluntary code of conduct.
He is hoping to meet representatives of the big supermarkets later this week.
In a joint statement the ministers said: "The dairy sector is a key part of our agricultural industry and all the governments in the UK are determined that it should have a profitable and sustainable future.In a joint statement the ministers said: "The dairy sector is a key part of our agricultural industry and all the governments in the UK are determined that it should have a profitable and sustainable future.
"In responding to the current situation, industry needs to address both the immediate issue of the price paid for milk and also the structures and mechanisms that will help underpin the long-term viability of the sector." "In responding to the current situation, the industry needs to address both the immediate issue of the price paid for milk and also the structures and mechanisms that will help underpin the long-term viability of the sector."
'Ramped up' Series of blockades
Campaign group FFA is warning that cuts in the price paid to suppliers by dairy processors, combined with rising feed costs, could force hundreds of dairy farmers out of business. Farmers want a code of conduct put in place which would give them more bargaining power in the price they can get for their milk.
Vice-chairman Andrew Hemming said more than 2,000 farmers were taking part in the action on Sunday night. They are often locked into fixed-term contracts with processing firms which are effectively middlemen who sell the milk on to customers including retailers and food production companies.
He says 800 farmers are blockading the Robert Wiseman Dairies processing plant near Bridgwater, Somerset, while the BBC's Andrew Plant estimated numbers totalled 500. Processors say the global market price of milk has fallen over the past year and that is why many farmers are being paid less.
About 300 farmers are at the Robert Wiseman Dairies processing plant in Droitwich Spa, Worcestershire, Mr Hemming says. Members of campaign group Farmers for Action (FFA) have staged a series of blockades at milk processing plants since Thursday over prices some supermarkets pay suppliers.
And more than 1,000 farmers are blockading the Muller Dairy UK Ltd plant in Market Drayton, Shropshire, he says. FFA is warning that cuts in the price paid to suppliers by dairy processors, combined with rising feed costs, could force hundreds of dairy farmers out of business.
FFA vice-chairman Andrew Hemming said 800 farmers blockaded the Robert Wiseman Dairies processing plant near Bridgwater, Somerset, while the BBC's Andrew Plant estimated the numbers totalled 500.
About 300 farmers were at the Robert Wiseman Dairies processing plant in Droitwich Spa, Worcestershire, Mr Hemming said.
More than 1,000 farmers blockaded the Muller Dairy UK Ltd plant in Market Drayton, Shropshire, he added.
Hundreds of farmers have taken place in protests that began last Thursday night and continued on Friday and Saturday, in Somerset, Yorkshire, Leicestershire and Worcestershire.Hundreds of farmers have taken place in protests that began last Thursday night and continued on Friday and Saturday, in Somerset, Yorkshire, Leicestershire and Worcestershire.
The farmers' anger has centred on cuts of up to 2p a litre (ppl) in the amount they receive from major milk processors, set to come in from 1 August. Robert Wiseman Dairies and First Milk are cutting the price by 1.7ppl, Arla Foods UK by 2ppl and Dairy Crest by 1.65ppl. The farmers' anger has centred on cuts of up to two pence per litre (ppl) in the amount they receive from major milk processors, set to come in from 1 August.
Robert Wiseman Dairies and First Milk are cutting the price by 1.7ppl, Arla Foods UK by 2ppl and Dairy Crest by 1.65ppl.
The processors say they have no choice but to make the cuts because the price they can sell cream for on the commodities market has fallen sharply in the past 12 to 18 months.The processors say they have no choice but to make the cuts because the price they can sell cream for on the commodities market has fallen sharply in the past 12 to 18 months.
Last week, Morrisons, Asda and Co-op announced that from 1 August they will increase the premium they pay farmers for their milk.Last week, Morrisons, Asda and Co-op announced that from 1 August they will increase the premium they pay farmers for their milk.
"What we've done so far over the last few days is beginning to bring some positive results but our action will be ramped up in the next four to five days in the run-up to the deadline of 1 August," said Mr Hemming. Mr Hemming said: "We don't want to be forced into a position where we're going to have to cut the milk supply. We don't want to upset the consumer and we don't want to throw money down the drain, but we will if we have to.
"We don't want to be forced into a position where we're going to have to cut the milk supply. We don't want to upset the consumer and we don't want to throw money down the drain, but we will if we have to. A spokesman for the Department for Environment, Food and Rural Affairs (Defra) said "there has got to be some real change at all levels of the supply chain to ensure the long-term sustainability of the industry.
"I think the government is now getting quite worried because they're going to get the blame for not intervening earlier - the pressure is coming from all sides."
He said many farmers had vowed to continue protests outside milk processing plants until they receive a better deal.
'Real change'
A spokesman for the Department for Environment, Food and Rural Affairs (Defra) said: "People have got a right to protest but we would say there has got to be some real change at all levels of the supply chain to ensure the long-term sustainability of the industry.
"The kind of protests that we have seen are not the way forward because this situation cannot be resolved overnight.""The kind of protests that we have seen are not the way forward because this situation cannot be resolved overnight."
Following talks on Monday, the government is also planning to meet representatives of the big supermarkets on Wednesday, the Defra spokesman said.
The government hopes a voluntary code of conduct on pricing can be agreed to end the dispute between farmers, milk processors and supermarkets.
Supermarkets assess how much it costs farmers to produce milk and then decide how much to pay above that as a premium, taking into account factors such as rising feed prices.Supermarkets assess how much it costs farmers to produce milk and then decide how much to pay above that as a premium, taking into account factors such as rising feed prices.
Morrisons is increasing its premium from 1p per litre (ppl) to 3ppl, as well as introducing support payments equivalent to 3ppl for farmers affected by the recent bad weather. It brings the total price they receive to 31ppl.
Co-operative is increasing its premium to 4.27ppl, bringing the total price they receive to 29ppl. And Asda is increasing its premium from 1ppl to 3ppl, meaning dairy farmers will continue to be paid 27.5ppl after the processors' cuts.
Co-op and Asda ruled out the increase being passed on to consumers through rises in the price of dairy products. Morrisons has yet to respond.