This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at http://www.bbc.co.uk/news/uk-33857629

The article has changed 12 times. There is an RSS feed of changes available.

Version 7 Version 8
Morrisons to create new milk brand for farmers Morrisons to create new milk brand for farmers
(35 minutes later)
Morrisons will sell a new milk brand which will see 10p paid per litre to farmers, the company says. Morrisons will sell a new milk brand which will see 10p paid per litre to farmers, the supermarket says.
The move comes after farming industry leaders met bosses of the supermarket chain to discuss the price of milk.
The Milk for Farmers brand means a four pint bottle (2.27 litres), which now sells for 89p, will cost an extra 23p.The Milk for Farmers brand means a four pint bottle (2.27 litres), which now sells for 89p, will cost an extra 23p.
Dairy farmers, who say they are struggling to stay in business because of a sharp drop in the amount they are paid, hailed it a welcome "first step". Other retailers have similar deals, but dairy organisation AHDB Dairy said 10p would make "a considerable difference".
The move comes after farming leaders met Morrisons bosses over concerns about the impact a sharp drop in the amount paid was having on the industry.
The National Farmers' Union (NFU) said it would now be writing to other sellers, asking them to follow Morrisons's lead.
The industry says a reduction in global demand for milk has led to an over-supply in the UK, creating difficult conditions for many dairy farmers.The industry says a reduction in global demand for milk has led to an over-supply in the UK, creating difficult conditions for many dairy farmers.
The extra money from the Morrisons's brand will be given directly to farmers within Arla, Britain's biggest milk co-operative. The NFU says the "huge crisis" had already driven 256 herds out of the industry so far in 2015.
'A fair price'
The extra money from the Morrisons brand will be given directly to farmers within Arla, Britain's biggest milk co-operative.
Morrisons corporate services director Martyn Jones said: "We will be launching a milk brand that allows customers to pay a little more if they want to support British farmers. It will go into stores in the autumn."Morrisons corporate services director Martyn Jones said: "We will be launching a milk brand that allows customers to pay a little more if they want to support British farmers. It will go into stores in the autumn."
NFU President Meurig Raymond said the move by Morrisons is a "welcome first step". NFU President Meurig Raymond said the move by Morrisons was a "welcome first step".
"We will continue to urge Morrisons and all retailers to ensure that farmers from all sectors who supply their food get a fair price.""We will continue to urge Morrisons and all retailers to ensure that farmers from all sectors who supply their food get a fair price."
The National Farmers' Union said that currently Waitrose, Marks & Spencer, Tesco, Sainsbury's and the Co-op have arrangements where a farmer is paid a price above the cost of production for milk. Asda, Lidl and Aldi currently do not offer such deals to farmers. The NFU said that currently Waitrose, Marks & Spencer, Tesco, Sainsbury's and the Co-op have arrangements where a farmer is paid a price above the cost of production for milk. Asda, Lidl and Aldi currently do not offer such deals to farmers.
Why has milk demand slumped?Why has milk demand slumped?
Why is the milk row happening?Why is the milk row happening?
Representatives from Morrisons met representatives from the UK's four main farming unions - the National Farmers' Union, NFU Cymru, NFU Scotland and the Ulster Farmers' Union, along with lobby group Farmers for Action.Representatives from Morrisons met representatives from the UK's four main farming unions - the National Farmers' Union, NFU Cymru, NFU Scotland and the Ulster Farmers' Union, along with lobby group Farmers for Action.
On Monday farming unions met to develop an action plan calling for labels to indicate British products and long-term contracts for farmers.On Monday farming unions met to develop an action plan calling for labels to indicate British products and long-term contracts for farmers.
Farmers have also been staging protests, including taking two cows into a supermarket in Staffordshire.Farmers have also been staging protests, including taking two cows into a supermarket in Staffordshire.
The British not-for-profit dairy organisation AHDB Dairy said the average UK farm gate price - which is the amount paid to farmers - fell to 24.06p per litre in May, a decrease of a quarter over 12 months. AHDB Dairy, a British not-for-profit dairy organisation, said the average UK farm gate price - which is the amount paid to farmers - fell to 24.06p per litre in May, a decrease of a quarter over 12 months.
Farmers estimate it costs 30-32p to produce each litre of milk.Farmers estimate it costs 30-32p to produce each litre of milk.
Meanwhile, the NFU's former chief economist said it was "unrealistic" for farmers to believe they can be paid "whatever price they think is needed".Meanwhile, the NFU's former chief economist said it was "unrealistic" for farmers to believe they can be paid "whatever price they think is needed".
Sean Rickard told BBC Radio 4's Farming Today that dairy farmers were paid an average of £28,000 a year from the taxpayer.Sean Rickard told BBC Radio 4's Farming Today that dairy farmers were paid an average of £28,000 a year from the taxpayer.
He said: "I think it's unrealistic for anyone in that position to expect us just to pay them whatever price they think is needed to cover their cost of production."He said: "I think it's unrealistic for anyone in that position to expect us just to pay them whatever price they think is needed to cover their cost of production."