Farmers campaigning for better milk prices could be left facing massive bills for costs after becoming involved in a legal battle with supermarket giant Asda.

The retailer has obtained injunctions against Farmers For Action chairman David Handley and his regional co-ordinators in an attempt to stop the group picketing its distribution depots.

Its action followed disruption last week at Chepstow, Skelmersdale and Grangemouth as farmers halted deliveries as part of their pre-Christmas campaign to stop Asda discounting milk.

On Friday, Monmouth-based Mr Handley agreed to meet senior managers on the understanding the retailer would be back in court this morning to ask for the injunctions to be lifted.

But he said: "Instead we were presented with a letter to sign which would have amounted to an undertaking not to target Asda for action again. But after we took legal advice we refused to sign."

Mr Handley will now go to the High Court in Leeds today where he will ask for the injunctions to be lifted.

But Asda is expected to seek a ruling which would effectively put a permanent ban on any farming organisation or farmer trying to disrupt its commercial activities through unlawful action.

Asda claims FFA's campaign has already cost it hundreds of thousands of pounds in lost output.

Farmers Union of Wales support action

Protests by hundreds of farmers at Asda depots across the UK highlight the need for retailers to behave responsibly or face the threat of further action, says the Farmers’ Union of Wales.

The protests, which were coordinated by Farmers For Action in response to milk discounting by the major retailer, took place at depots in Grangemouth, Skelmersdale, and Chepstow, and prompted Asda to take out a Court Injunction against FFA.

“We are assured that FFA has complied with the law and with the terms of the injunction, and producers have every right to protest peacefully against this type of behaviour by the retailers,” said FUW dairy committee chairman Eifion Huws.

But while the protests relate primarily to the issue of milk discounting - which inevitably leads to downward pressure on farmgate milk prices - they highlight a broader need for the retailers to behave responsibly towards their suppliers, and the possibly consequences of not doing so, says Mr Huws.

“The major retailers exert massive downwards pressure on the farmgate prices received by all primary producers, making farming and food production less viable, and reducing the incomes of farming families.

“In the absence of government moves to ensure equality throughout the supply chain, those whose incomes are threatened by the retailers will feel they have no alternative but to protest, as has happened in this case.

“Over the past few weeks we have also heard of retailers severely penalising some vegetable producers due to problems caused by the bad weather. Given the grief and losses that such weather already causes for farm businesses, in my mind that amounts to kicking a man when he is down.


“While other businesses reel from the impact of recession and cutbacks, the profits of the major retailers seem to know no bounds, highlighting the overwhelming imbalance of power within the supply chain."