October deliveries of milk to dairies continued to disappoint despite seasonal pricing incentives being offered in a bid to boost autumn output.
According to the Rural Payments Agency, October deliveries were 4% lower than in October last year, the biggest monthly year-on-year decline since June. This means total deliveries over the first seven months of the milk quota year since April 1 have been down by 3.8% or 320 million litres.
This shortfall raises doubts about whether farmers will fill their EU milk quota in the year to March 2005.