Britain’s biggest retailer reportedly assured the NFU and FFA that the switchover would be made by March 2016, after a meeting on Wednesday (19 August).
Tesco was also asked to consider a 28p/litre minimum price for milk for cheese and country of origin labels that showed one country instead of several. A follow-up meeting is scheduled on 2 September to discuss these issues.
Along with Sainsbury’s, Tesco has avoided the main brunt of farmer protests due to its cost-of-production-covering liquid milk supply scheme.
But industry leaders still want the supermarket to roll out that well-regarded policy to other dairy products.
In a statement, FFA described the Tesco meeting as “very, very positive”.
FFA also asked for any protests at Tesco stores to stop while the negotiations continued.
The announcement is the latest in a wave of retailer pledges to dairy farmers in the past fortnight.
Morrisons was first, announcing a new Milk for Farmers line of liquid milk and cheese that would return 10p/litre direct to producers.
It also brought in a minimum milk price of 26p/litre over the winter, with the promise this money would be passed to farmers.
Aldi, Asda and Lidl then all followed with their own milk price floors of 28p/litre.
Asda has also committed to using co-operative Arla’s farmer-owned marque on its liquid milk and a “Made with British Milk” logo on cheese.
Source: FarmersWeekly
