Diary giant warns of supply issues unless wages rise
The UK's largest dairy has warned milk supplies could be under threat unless its farmers are paid more.
Arla Foods is the fifth biggest dairy company in the world and the largest supplier of fresh milk and cream in the UK. The co-operative has 2,100 dairy farmers in the UK and 8,950 across Europe.David Christensen, an Arla dairy farmer based in Oxfordshire, said he had "never experienced conditions like this in 30 years" of working in the industry.
But industry sources have said even these so-called aligned contracts are failing to keep up with sky rocketing costs. It's already trialling the export of fresh British milk for processing at its European sites which is then sold on international markets."The good news here for farmers and actually the British dairy industry is that the opportunities of export give farmers more options and therefore it means that the whole of the UK dairy industry should get a lift as a result of those markets," Mr Amirahmadi said.
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