Major milk processor Robert Wiseman Dairies has become the latest milk buyer to announce a price increase for its farmer suppliers. Muller-owned Robert Wiseman announced on Friday that suppliers will receive 29 pence per litre for their milk from 15th October.

The round of price increases is said to be on the back of more profitable milk and cream prices, and an acknowledgement that buyers in the UK are willing to pay slightly more to support dairy farmers. However, the return to favourable conditions was only achieved following a summer of protests which saw a coalition of farming groups raising awareness and even blockading milk processing plants.  

Whilst the rise is undoubtedly welcome, following as it does proposals earlier in the year to reduce farm-gate milk prices to 25pence per litre, farming groups maintain that then current cost of milk production is in excess of 30ppl. Wiseman said on Friday that the company has “reaffirmed plans through its Wisemilk Initiative, to consider new ways of valuing farm-gate milk in future using the proposed Voluntary Code of Practice as a framework.”

The increase will benefit all dairy farmers who supply the Company; producers who are aligned with major customers like Tesco, Sainsbury and the Co-operative Group, which have their own milk pricing arrangements, will not benefit.

Wiseman has expressed the desire to increase the number of farmers supplying the company directly.

Pete Nicholson, Wiseman’s Milk Procurement Director commented on the rise, “This increase is only possible with the timely support of our customers and we are working to this end and confident that this will be secured. Müller is ambitious to grow and to play a major role in UK dairy. This presents real opportunities for dairy farmers who currently supply the Group, and those who don’t but may be considering whether their current buyer is right for them in the long term.”

“Whilst this has been an extremely challenging period for the dairy supply chain we believe that a platform now exists from which the industry can begin to look forward. We are confident for the future and we look forward to working with our suppliers to realise our shared aspirations.”

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