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Bates sets challenge to retailers to process Welsh milk in Wales

March 25, 2009 12:00 AM

Liberal Democrat Shadow Minister for Rural Affairs, Mick Bates AM, has called on the Minister Elin Jones in the Chamber to work with retailers to process Welsh milk in Wales as the Welsh Dairy Industry continues to struggle.

Commenting, Mick stated:

"I am extremely concerned that the Welsh Government continues to deny the dire situation currently facing the Welsh Dairy Industry. Since New Year the farm gate price paid to dairy producers has plunged with Arla, First Milk, Wiseman and Dairy Crest all cutting the price they pay to farmers and it is crucial that the Welsh Government takes action to secure the future of this industry.

"I recently met with the Dairy Farmers of Britain who are one of the largest suppliers of school milk in the UK. They currently supply 12 authorities in Wales with Welsh milk processed in Wales - but they are making a loss every week, with a product cost of over 25p per bottle and a delivery price of only 18-21p.

"The supply of Welsh school milk is an excellent way to support a market for Welsh milk and to support our local economies at this difficult time. I have urged the Minister in the Chamber to offer any support and investment possible to make this industry commercially viable, so that companies such as the Dairy Farmers of Britain can continue to procure and promote Welsh milk and ensure that our children in schools across Wales continue to receive free school milk that has been produced in their local communities.

"I am also concerned that there is a lack of control over the use of the term 'Welsh milk'. Often in supermarkets the Welsh milk is in fact packed in other parts of the UK, removing this business from our local economies. Asda Welsh milk for example is packed by Arla at Ashby in the Midlands, Dairy Crest pack in Severnside Gloucestershire for Sainsbury & Morrisons and Tesco packs in Droitwich near Birmingham.

"There is no sense in Welsh milk produced in Wales being shipped across the border to be processed and packed. I have set a challenge to the Minister in the Chamber to work with retailers to ensure that Welsh milk, in particular Welsh milk for schools, is processed in Wales, for the benefit of Welsh consumers and the Welsh economy."

Ends/Diwedd

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