19 September 2000
Now Safeway pays 2ppl more for milk

By FWi staff

A SECOND major supermarket chain has announced that it is to pay suppliers 2ppl more for milk.

Safeway says all of the cash will go to dairy farmers, reports the BBC Radio 4 Farming Today programme.

On Monday (18 September) Asda announced that it would ask its dairies to charge it 2ppl more.

Neither increase will affect the price consumers pay.

David Handley of protest group Farmers For Action, which has taken a leading role in negotiations with supermarkets, welcomed the Safeway decision.

Mr Handley, who has a 140-strong dairy herd, said this would add 10,000 to his gross turnover, which has fallen from 115,000 some 18 months ago to 47,000 now.

“This is not going to reverse the crisis situation Im in, but its certainly going to put a lot of peoples minds at rest that we are on the right road to recovery.”

FFA is still pushing for a further 1ppl and is in discussions with supermarkets.

Mr Handley said the FFA direct action and negotiations had secured the milk price rise.

“Through peaceful protest and then achieving dialogue, the outcome can be what we received today, which is a mega boost for British farming in general.”

Meanwhile Robert Wiseman Dairies, which was involved in discussions with Asda, has confirmed an increase of 2ppl for all suppliers.

It said improving butterfat prices justified the increase.

Managing director Robert Wiseman said: “We hope that this example will be followed by others over the coming weeks, to the ultimate benefit of the British dairy industry.”