Dairy Crest to pay 2p/litre volume bonus

Milk producers supplying Dairy Crest on its standard contract for liquid milk will be eligible for a 2p/litre bonus payment for extra milk produced from August this year through to March 2013.

The new volume incentive payment will be triggered once production reaches 3.5% above output in the equivalent period last year.

Dairy Crest wants to increase the proportion of milk it sources from direct supply and the scheme is available to all liquid suppliers on standard contracts and those on the stable-priced milk&more agreement. The firm is also recruiting new direct milk suppliers.