Arla has reassured farmers an appeal for increased production is demand led, after concerns it was sending out mixed messages.
A letter was sent out to producers which said the cooperative was looking for more milk.
Michael Oakes, NFU dairy board chairman, had expressed concerns after reports from Reuters EU chief executive Peder Tuborgh had suggested rising milk supplies within Europe would keep price milk increases in check.
But an Arla spokesman said it was based on customer demand for its products using British milk.
“It is also in line with our growth ambitions and strategy, as well as our successful innovation pipeline.
Highest milk price
“Our mission is to deliver the highest milk price to our owners and our request for additional milk is in line with this.
“We are looking at increasing our British milk pool, in the medium to long term, and as a farmer-owned business we believe that asking our farmers to expand production is the most logical way to do this.”
Source: FGInsight
Link: https://www.fginsight.com/news/arla-reassures-farmers-appeal-for-more-milk-is-demand-led-19220