THE chairman of the NFU’s South West regional dairy board is predicting tough times ahead for the industry as farmers cope with falling milk prices (the ‘average milk price equivalent’ has decreased almost 10 percent since August to 23.5 pence per litre).

But speaking ahead of tomorrow’s (October 1) Dairy Show, Cornish dairy farmer Mark Oliver said the NFU would do whatever it could to minimise their impact.

“As the latest round of price drops starts to hit our businesses, with the promise of more to come, once again many farmers are being expected to sell milk below the cost of production.

Even after reducing costs, cash flows for the coming 12 months are not looking healthy.

“Of course, the NFU will be working to do whatever it can to make this slump as shallow and as short-lived as possible. Many of the factors currently affecting prices are of a global nature, but in the areas that we can affect – including campaigning on behalf of British dairy products and holding retailers to account – you can be sure we will do whatever we can to make a difference.”

Mr Oliver, who farms near Bodmin, says retailers must be aware farmers need a sustainable price for their milk and should not be expected to bear the cost of the ‘four pints for a pound’-style promotions which are all too common these days.

“As a dairy farmer myself I understand all too well the pressures of a low milk price and the struggle of not getting a sufficient return for my investment and effort. It is sad to know that once again many dairy farmers will feel that strain during the coming months.

“We need to address the question of food security and find ways for farmers to make a consistent profit that will give them confidence when it comes to investing for the future of their businesses.

“I want to see a growing and profitable dairy sector in this country but I know that is going to be difficult to achieve if market volatility keeps pulling the rug out from under our feet just as the future starts to look brighter.”

The NFU will have its usual stand alongside the show’s main ring where guests will include Deputy President Minette Batters (10.30 to 11.30am), national and regional dairy board chairmen Rob Harrison and Mark Oliver (12.30 to 1.30pm) and dairy advisor Rosie Barnett (3pm to 4pm).