Lobbying efforts achieve framework for milk contracts says UFU
The Ulster Farmers’ Union (UFU) has welcomed the announcement that the UK government intends to bring forward new contractual regulations to increase fairness and transparency in the dairy supply chain.
It was announced by the Minister of State for Food, Farming and Fisheries, Mark Spencer MP, this week.
UFU dairy chair Kenny Hawkes said: “For five years the UFU alongside the UK farming unions, has undergone immense lobbying efforts to achieve more fairness and transparency in the dairy supply chain.
“It is extremely positive news that the UK government are now going to act to address the issues that we have been voicing on behalf of our dairy farmers.
“The new regulations within milk contracts will provide a framework, establishing a legally binding minimum standards of contractual practice.
“This also also provides businesses with the flexibility to adapt contracts to their individual circumstances.
“Currently, in the dairy supply chain the primary producer bears all the risk and the UFU ran two questionnaires on the issue of statutory contractual changes.
“The majority wished to see a legislative solution to this which did not come as a major surprise. However, it was critical in providing evidence to creating this change to milk contracts.
“The new regulations will provide farmers with clearer pricing terms, with contracts clearly outlining the factors that generate the milk price giving farmers the ability to challenge prices if they feel the new process isn’t being followed.
” It will give our farmers more confidence in their milk production and spread the risk more evenly across the supply chain.
“This is a huge milestone for the dairy supply chain, advancing transparency in a manner that ensures farmers receive a fairer return for their product and addresses historical discrepancies in the dairy industry.”
Once the new contractual regulations are published, the UFU will study it in detail to ensure that this important legislation delivers for all dairy farmers in Northern Ireland.
“We will work with industry stakeholders to ensure a full examination and smooth roll out of the new legislative code which will build a stronger, more resilient future for the Northern Ireland dairy sector.
“We will also continue to liaise with government so that not only will family farms benefit and the supply chain, but also, the millions of people who value access to high-quality, nutritious and sustainable British milk and dairy produce,” said Mr Hawkes.