Dairy farmers who supply Müller Milk & Ingredients on its Skelmersdale contract say the price they are paid no longer covers their costs, and NFU Scotland has called for immediate action, The Scottish Farmer reports.

The union put its concerns directly to Müller chief executive Rob Hutchinson and agriculture director Richard Collins at a recent meeting. NFU Scotland dairy chair Bruce Mackie said the milk price on the contract is currently around 28p per litre before transport costs, leaving suppliers in an increasingly difficult position.

An increase is expected for September, which Mackie welcomed, but he said it "must mark the beginning of meaningful and sustained improvement, not the end of the conversation". A long run of low returns, he said, was putting heavy pressure on well-run, well-invested family farms.

The union said the squeeze is limiting investment on farms and has raised concerns about health and safety, mental wellbeing and whether younger people will see a future in dairying. One young Skelmersdale producer wrote to NFU Scotland president Andrew Connon and the Milk Committee: "We need things to change now, not in six months, not in five years, but now."

Müller acknowledged the concerns and set out plans for continued investment at Skelmersdale, including more powder and ingredient processing capacity. NFU Scotland said investment plans running into 2027 offered little comfort to farmers facing pressure now.

Producer meetings are planned for October, and the union said it would keep talking to Müller on behalf of the affected farmers. "They need a milk price that reflects the cost of production and provides confidence that their businesses, and the next generation, have a viable future," Mackie said. The report is by Glen Barclay.

Photo: Andrew Curtis / Wikimedia Commons (CC BY-SA 2.0)

Source: The Scottish Farmer