| 23/11/06           A combination of equitable pricing and a new strategy to grasp
                market opportunities will provide a future for Scotland’s
                dairy industry, according to NFU Scotland’s Milk Committee.
                The Union has also stressed that whilst milk prices have remained
                unacceptable, other efforts to secure a better return for dairy
              producers have paid off in 2006. On prices, NFU Scotland’s recent campaign has harnessed
              the support of the public. Events at shows and outside supermarkets
              have reach consumers directly and secured their support. The NFUS
              strategy is also focussed on helping the dairy industry lift itself
              out of the current crisis through market development and product
              innovation. The Milk Development Council is doing work to identify
            opportunities and is expected to report by the end of the year. NFUS has also highlighted that a great deal of work this year
              has benefited dairy farmers. In particular, the successful efforts
              to lift the beef export ban has delivered a market for dairy bull
              calves. Likewise, finished cows can now attract a market price
              of £400-500 a head, compared to an OTM value of just £200.
              Additionally, the Union’s efforts to avoid a ban on the use
              of tallow as a renewable fuel is estimated to be worth £10
              a head and the ongoing deferral of cattle passport charges is valued
              at £8 a head. NFUS Milk Committee Chairman Willie Lamont said: “There is a great deal of debate from all quarters on how
              our industry moves forward and we must use that to drive change.
              We are the most efficient producers in Europe, with 60 million
              customers on our doorstep. That strength of position is further
              enhanced if we use every opportunity to group together as farmers
              to improve our negotiating position. That will help us build fairer
              and more transparent relationships throughout the supply chain.  “The profile of the difficulties faced by our dairying members
              has never been higher and we have put other parts of the supply
              chain under the spotlight. We now have the public on our side,
              which is how we will change retailers’ behaviour. There is
              no quick fix on milk price, which makes the other efforts to secure
              more immediate returns all the more important.” NFUS Vice President Jim McLaren said: “Milk price is undoubtedly the single most important factor
              for dairy producers. However, whilst prices are still totally unacceptable,
              there have been positive developments outwith that. We worked for
              years with government to secure the lifting of the beef export
              ban. From zero value, bull calves now have a market and some older
              cows will have at least doubled in value. Those developments, on
              top of avoiding the tallow ban and cattle passport charges, are
              of huge financial significance to our dairy members. “I know it is extremely difficult to talk of investment
              in market development when the milk cheque barely covers costs
              of production. However, the reason we’re working with other
              groups, such as MDC, on opportunities is because I firmly believe
              that we must innovate our way of the current crisis, by turning
              low value product into added value product. That, combined with
              pressure on the supply chain to reward innovation, can deliver
              a future.”  Johnson championship hat-trick at Christmas Craven Dairy Auction 
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again land spoils at Skipton pedigree beef fixture
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