Dairy Crest’s 0.275ppl cut relates to its liquid milk contract, and applies from next month. The company is promising to hold the new price until March.
Milk purchasing director Arthur Reeves blamed the cut on weak commodity prices, particularly for cream. “Our milk prices are market-related and we sell a high proportion of the liquid milk we buy into the commodity markets,” he said.
The NFU said the timing of the cut was “odd given the likelihood of cream prices strengthening by Christmas”.
DFB’s 0.3ppl reduction will apply retrospectively from October 1. The co-op blames “the rise in energy, fuel and haulage costs”.