Price of milk may rise this winter
The price of fresh milk could rise this winter following an announcement by the dairy group which supplies the Co-operative Group and other supermarkets that it may be forced to increase its farm-gate price.
Robert Wiseman, one of the largest dairy groups in the UK, said it had come under increasing pressure from rising diesel and raw material costs.
The group signed a major deal with the Co-operative Group earlier in the year, and will supply all the supermarket’s own brand milk from August. In a statement at its AGM, Robert Wiseman said preparations were well advanced for the creation of the Co-operative Dairy Group, which would benefit around 240 Wiseman producers.
Chairman Robert Wiseman said: “Over the past 12 months, the business has experienced unprecedented pressure on margins and significant increases in input costs.”
He continued: “We realise that the overall economic environment provides challenges for all our customers: however, we need to ensure that we secure sustainable milk supplies in line with their long-term requirements.”
He said diesel costs were 15% higher than the equivalent period last year and the cost of resin used to produce the firm’s plastic bottles was 18% higher.
