News.

Dairy farmers across Cornwall are currently facing significant pressure as milk prices drop and supply restrictions are introduced. Since before Christmas, the milk price has fallen from 42 pence per litre (ppl) to 33ppl. To put this into perspective, a 1ppl reduction on a supply of 1 million litres equates to a £10,000 reduction in sales.

On top of these price reductions, some dairy companies are asking farmers to cut supply by up to 10% to help balance supply and demand. While farmers receiving seasonality payments are currently seeing a small positive adjustment of around 2ppl, and those producing higher butterfat and protein may receive additional bonuses, these positive adjustments will disappear from April onwards, increasing financial strain.

Farm Cornwall is here to support farmers who are struggling to manage their dairy contracts or pay suppliers. If you are feeling stressed or overwhelmed, please do not hesitate to contact us.