NFU SCOTLAND’S fears the huge milk price cut from dairy giant Muller would see others follow suit have been realised, with Arla to cut its price this month.
The net 1.3p per litre cut for Arla suppliers would have been more had it not been for a beneficial movement in the exchange rate and benefits from Arla’s own bonus scheme for producers.
Farmer-owned First Milk is holding its price for January. NFU Scotland vice president Gary Mitchell, a dairy farmer in Stranraer, said: ‘Yesterday’s announcement from Arla was disappointing and the milk price benefits that both currency exchange and the new ArlaGaarden farm assurance initiative should have been bringing to our price have been eradicated in one fell swoop.