NFU Scotland pushing hard for statutory milk contracts

The introduction of statutory milk contracts into legislation could be the foundation of fairer contracts for all primary producers, says NFU Scotland.

The UK government introduced a dairy voluntary code on best practice on contractual relationship between producers and supplies in the sector in 2012, but it has not proven to be very successful.

NFU Scotland, the NFU and other farming unions have been working together to introduce a statutory instrument to regulate milk contracts and deliver “fairness and transparency to the milk supply chain”.

See also: Fairer pricing for dairy farmers promised in new legislation

The UK government has stated its desire to end unfair practices in the dairy supply chain and it is expected that a statutory instrument on milk contracts will be brought forward by Defra in spring 2024 and then laid in the Houses of Parliament.

The new regulations promise to empower dairy farmers’ negotiating position, helping to ensure fairer prices, transparency and accountability across the supply chain.

Alasdair Macnab, NFUS vice-president, who sits on the union’s Milk Committee, said: “We hope to get a very useful piece of legislation published next spring.

“There is still a bit of work to do to get things finalised. We’re going to keep a close eye on that and work with the unions, the Milk Committee and members to make sure we get what is important for Scotland.

“It is important we’re there to influence compulsory regulations for other sectors going down the line to make sure that we get the consistency and the outcomes we’re actually needing.”

Mr Macnab was speaking at an NFUS policy briefing in Edinburgh last week.