New regulations mean farmers will be able to challenge prices and more easily raise concerns with supply contracts, helping ensure they receive a fair price
The government has today (11 July) outlined more detail on regulations set to come into force later this year which will ensure supply contracts in the dairy sector are fair and transparent, with farmers being paid a fair price for their produce.
Delivering on a key commitment set out at the Prime Minister’s Farm to Fork Summit earlier this year, the regulations will help establish stability and accountability across the dairy supply chain by enabling farmers to challenge prices, stopping contract changes being imposed on farmers without agreement, and ensuring farmers are able to more easily raise concerns.
The development of the regulations has been supported by detailed discussion with key industry players including the NFU and Dairy UK, and the government has listened to feedback from farmers and processors to ensure the new regulations address previous concerns and provide tailored support for those in the industry.
Farming Minister Mark Spencer said:
The regulations will mean:
The upcoming dairy regulations are part of a series of supply chain interventions confirmed by the government at the Farm to Fork Summit. New reviews will also begin this Autumn to help establish fairer supply chains in the eggs and horticulture sectors, and we announced in April that we will also be developing regulations to improve relationships in the UK pig supply chain.
These regulations have been developed using new powers under the Agriculture Act 2020, and there will be continued engagement with industry to ensure that they meet the needs of the sector and properly address the challenges the sector faces.
NFU dairy board chair Michael Oakes said:
A Dairy UK spokesperson said:
The regulations form part of the government’s wider strategy to grow a thriving British food and drink sector which will put more British produce on supermarket shelves in the UK and around the world.
It comes alongside wider support for the agricultural sector, with £2.4 billion per year being invested in farming for the rest of this Parliament. This includes support for farmers through our new environmental land management schemes, with an expanded and improved Sustainable Farming Incentive 2023 offer announced last month, as well as enabling the sector to harness new opportunities for the development of automatic and robotic technologies on farms as part of our £270 million Farming Innovation Programme.