Yorkshire dairy farmers thrown a lifeline

FARMERS left high and dry after Dairy Farmers of Britain (DFB) went into receivership have been thrown a lifeline.

Milk Link is to provide a contract with a three month notice period for the remaining DFB farmer members most of whom are based in Yorkshire, the North East, Cumbria, Lancashire and south of Manchester.

According to PricewaterhouseCoopers (PwC) – receivers and managers of the failed co-operative – the new deal represents the best solution for the remaining 200 members.

The agreement followed a meeting with Defra, the Welsh Assembly, Dairy UK and the NFU.

Since the meeting, around 60 farmers have found alternate buyers but there remained 143 farmers who continued to have their milk collected by the receivers at a wholly uneconomic 10p minimum base price.

Milk Link, which acquired the DFB-owned Llandyrnog Creamery earlier this month, is able to offer a better price due to improved efficiencies and a larger milk field.

David Kelly, partner and joint receiver, PricewaterhouseCoopers LLP Manchester said: “The PwC team, the DFB Milk Supply team and the Member Council have been working hard to solve the problem of the remaining DFB Milk Field.

“It is very good news that we have been able to find an alternative for those remaining farmers less than a month into the receivership and at a much improved price than we were able to offer.”

Will Sanderson, Milk Link corporate affairs director, said: “The provision of this contract, we believe, will provide those DFB farmers without an alternative buyer, a much needed period of stability and a secure outlet for their milk.

“It will also allow them time to assess how they want to move forward in dairy farming.”