CANNES, France
Farming Minister Jim Paice has been encouraging organisationsrepresenting dairy farmers and processors to agree a voluntary codeof practice on milk contracts since last summer. But at a meeting of the cross-industry Dairy Supply Chain Forumlast Thursday, held against the backdrop of recent milk price cuts,it became evident that the sides are still some way apart on themake-up of a voluntary code. Mr Paice told processors he will be forced to consider introducingnew EU legislation making milk contracts compulsory if agreementcannot be reached on a voluntary alternative. He said the manner ofrecent cuts to farm gate milk prices were clearly very bad newsindeed for the farmers affected and that time was running outbefore he would be forced to act. One of the big sticking points is the ability of farmers to leavecontracts if circumstances change. T10 Led Tube Light
Speaking after the meeting, NFU dairy board chairman Mansel Raymondsaid the NFU made a concession to sanction buyer s discretion insetting milk prices but said this must come with proper breakclauses. We are adamant that no farmer should be forced to stay in acontract when the deal is fundamentally changed. If dairy processors wish to retain discretion to set farmers milkprices, then there must be break clauses which allow the farmer toleave the contract early if there is a disagreement over a pricecut. He pointed out that legislation would lead to prices based on a fixed or formulaic price , whereas a voluntary code of practiceto bring fairness to contracts. We ve recently seen a raft of near identical price cuts of up to2ppl. High Bay Led Lights Manufacturer
While farmers are tied to long notice periods, there is noincentive for a milk processor to offer a market leading price. NFU Scotland vice-president Allan Bowie said NFUS was adamant thatthe proposed code of practice must include substantialcontractual improvements bringing better balance and fairness toarrangements between farmers and their milk buyers . Where processors drop the price of milk without propernegotiation, justification or agreement as has happened inrecent days - then suppliers should have the option to resign undera shorter notice period. If this is not acceptable to processors,then we have urged our politicians to legislate. China Led Down Lamp
He commended the commitment by Mr Paice and his Scottishcounterpart Richard Lochhead to help producers, but the industrywas now at the point where they must deliver. The UK farming unions have worked very hard with the processor sumbrella organisation Dairy UK, but we have yet to establish ameaningful and long-term outcome. Dairy UK director general Jim Begg said the main participants inthe Voluntary Code discussions remain committed to finding asolution by the voluntary and not the legislative route, as doesthe Minister. The challenge has been intensified by the market pressure.
Socool heads and not hyperbole are what we need now. It will be toour benefit in the longer term, he wrote in his blog .
Speaking after the meeting, NFU dairy board chairman Mansel Raymondsaid the NFU made a concession to sanction buyer s discretion insetting milk prices but said this must come with proper breakclauses. We are adamant that no farmer should be forced to stay in acontract when the deal is fundamentally changed. If dairy processors wish to retain discretion to set farmers milkprices, then there must be break clauses which allow the farmer toleave the contract early if there is a disagreement over a pricecut. He pointed out that legislation would lead to prices based on a fixed or formulaic price , whereas a voluntary code of practiceto bring fairness to contracts. We ve recently seen a raft of near identical price cuts of up to2ppl. High Bay Led Lights Manufacturer
While farmers are tied to long notice periods, there is noincentive for a milk processor to offer a market leading price. NFU Scotland vice-president Allan Bowie said NFUS was adamant thatthe proposed code of practice must include substantialcontractual improvements bringing better balance and fairness toarrangements between farmers and their milk buyers . Where processors drop the price of milk without propernegotiation, justification or agreement as has happened inrecent days - then suppliers should have the option to resign undera shorter notice period. If this is not acceptable to processors,then we have urged our politicians to legislate. China Led Down Lamp
He commended the commitment by Mr Paice and his Scottishcounterpart Richard Lochhead to help producers, but the industrywas now at the point where they must deliver. The UK farming unions have worked very hard with the processor sumbrella organisation Dairy UK, but we have yet to establish ameaningful and long-term outcome. Dairy UK director general Jim Begg said the main participants inthe Voluntary Code discussions remain committed to finding asolution by the voluntary and not the legislative route, as doesthe Minister. The challenge has been intensified by the market pressure.
Socool heads and not hyperbole are what we need now. It will be toour benefit in the longer term, he wrote in his blog .