Friday, 9th January 2009

News from the Guernsey Press

Farmers furious as milk price rise stays on hold

FARMERS are upset by a delay in implementing the increase in the price of milk. It was expected it would come into force in the first two weeks of the month, but Commerce and Employment is still consulting with the industry.

‘Farmers are very concerned at this new development,’ said spokesman James Watts.

Rises are not now expected for a few weeks.

It was agreed that the date would be finalised only after consultation with the Guernsey Milk Retailers’ Association to give its members time to tell customers.

But long-established farmer Julian Ogier was unhappy at the delay.

‘It’s very disappointing. I thought they had made a decision and were going to stick by it. If this price rise is inevitable, why don’t they go ahead and make it?

‘The longer they put off a price increase, the further away an increase to us gets.

‘We have waited three years for a price increase. The price rises are not too horrific and I don’t think there will be too much of a problem to the consumer,’ he said.

But he insisted there must be an urgent review of the producer price as it is long overdue.

‘We could justify an increase in producer price a year ago and were told any decision would be put off until after the States debate. We were told after that we would be awarded a price rise,’ said Mr Ogier.

‘The Dairy was in such dire straits, they are now trying to recoup some of their losses and we are having to fund their previous mismanagement. We are being held to ransom because of that.’

A department rethink has taken place because of some of the consequences of the debate on milk.

A spokesman has confirmed that meetings have been held this week with roundsmen and farmers.

‘It’s inevitable that the price of milk will rise, but I don’t know the timing,’ he said.

‘It’s a process of consultation that is in hand at the moment and the board has not finalised the timing of any rise and has not made a formal announcement on this.

‘They want further discussions with board members. The Guernsey Farmers Association will probably be meeting them to discuss the matter further,’ he said.

* No one from the Guernsey Milk Retailers’ Association was available for comment yesterday.

*Commerce and Employment decided on the new prices for mile at the start of the month. Its planned rises were:

Litres up from 70 to 75p

Half-litres 39 to 42p

Organic half-litres 54 to 58p

Article posted on 18th May, 2007 - 12.00am

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