Defra is awarding Dairy UK £460,000 to carry out projects designed to generate efficiencies in dairy plants.
The trade body plans to run benchmarking exercises and business masterclasses similar to those already carried out in red meat and cereals.
A separate study will compare efficiency levels at UK processors with those abroad. News of these initiatives will delight farmers’ groups.
In its strategy document, A Vision for the Dairy Industry, the NFU has called for milk processors to improve their efficiency and benchmark their costs against EU rivals.
It claimed: “There is a feeling among farmers that too often it is they that have shouldered the burden of reducing costs.”