21/08/07
UK dairy farmers will be able to sell their milk through Capital
Milk, a newly formed professional brokerage company based in Hampshire,
from 1 October.
Milk will be bought from farmers and sold on to a range of dairy
customers on a variety of short and long term contracts. With the
current milk shortage, Capital Milk directors, Chris White and
David Lunniss are confident they can improve the returns of dairy
farmers who use their service.
“Farm gate prices fell from 24.5ppl to 18.5ppl in the ten
years from 1995, while processor gross margins increased by 8%,
and retail gross margins increased ten-fold from 3% to 28%,” says
Mr White. “During this time farmers have been forced to sell
milk below the cost of production.
“As dairy consultants, we have the experience and skills
to negotiate milk contracts on behalf of dairy farmers, and believe
that most of the current contracts are inappropriate and severely
detrimental to the producer.
“We want to use our experience to help secure better returns
and a long term profitable future for everyone across the whole
dairy supply chain – but particularly for farmers.”
Any dairy producers interested in selling their milk via Capital
Milk can contact Chris White or David Lunniss on tel: 01794 367611.
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