Farmers hunt for buyer after dairy crisis shuts cheesemaker
Library image. © Cultura/Rex Shutterstock More than 20 farmers are hunting for a new milk buyer after the dairy crisis forced a Somerset cheesemaker to close.
Cricketer Farm near Bridgwater has announced it will halt production in early 2016 after more than 60 years.
The firm’s directors have pledged to honour farmers’ contracts and help them find new processors.
See also: First Milk cuts September farmgate prices further
They also promised to work with the almost 70-strong staff to assist them in finding new jobs.
In a statement, Cricketer Farm blamed the turmoil of global milk oversupply and the damaging effect of the strong pound on exports.
“Market volatility has forced the UK dairy market into a period of uncertainty and consolidation, which is reshaping the industry to be dominated by international dairy powerhouses, focused on global strategies”
Cricketer Farm
It also lost a major supply contract from next January, due to the supermarket price war.
This had led to “significant financial losses” in the last year, making business unviable, it said.
“Market volatility has forced the UK dairy market into a period of uncertainty and consolidation, which is reshaping the industry to be dominated by international dairy powerhouses, focused on global strategies,” the statement added.
“This makes it impossible for a business like Cricketer Farm to look ahead with confidence.”
Small- and middle-sized cheesemakers have suffered from the major slump in dairy commodity prices.
Mild cheddar prices fell another 9% from July to August.
The price of £2,075/t is almost a third down on the year.
Milk production across the country is still running high, with few processors – if any – recruiting.
NFU South West dairy adviser Andi Witcombe said the 25 farmers were being helped with legal support, contract terms and the search for a new home for the milk.
She said the affected producers should be within other buyers’ milk fields, so there might be alternatives.
“[Cricketer] is not shutting down until February so they have got six months to see what they can do,” she said.
“At a national level we will be speaking with other processors to see if they are interested in taking on other milk.”