Robert Wiseman Dairies has reached agreement with representatives of the dairy farmers who supply the company to collaborate on an initiative which will determine how farm-gate milk should be valued in future.
The Wisemilk Initiative, which is expected to take at least three months to complete, will use the proposed Voluntary Code of Practice as a framework, with work to be undertaken by four farmer representatives of the Wiseman Milk Partnership and directors from Robert Wiseman Dairies.
A particular focus will be placed on finding ways to deliver transparency in how farm gate milk prices are determined so that suppliers to the company can plan more effectively.
Pete Nicholson, Milk Procurement Director at Robert Wiseman Dairies, said: “We cannot ignore the ups and downs of a market, but we have to strengthen the basis of the partnership we have with dairy farmers who supply us. There is a shared belief that steps can be taken to remove the tensions and lack of clarity that exist in the supply chain at the moment. It’s time to start the process of rebuilding trust and we will work diligently and constructively in order to achieve this end.
Roddy Catto, Chairman of the Wiseman Milk Partnership said: “We welcome and support this initiative which we hope to be the first step towards greater levels of transparency and honesty in the milk price setting process. There is a lot of work to do if dairy farmers are to have the basis from which they can move forward, invest and see a future in dairying.
“Confidence has been badly shaken and there remains a great deal of anger amongst dairy producers who rightly feel that they are being asked to do the impossible – produce milk for a market that right now is not returning enough to cover costs.”