Q&A: The dairy contracts debate

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NFU Cymru is aware that there are currently a lot of questions on dairy contracts. It is a hot topic on social media, press and at agricultural meetings, therefore, NFU Cymru Policy Adviser, Dafydd Jarrett, highlights the key questions and the latest developments below:

Why has the consultation not been published by DEFRA and Welsh Government?

We are still hearing that we can expect the consultation to be published in the New Year. We are told that the consultation has been written but has been held up due to disputes over the power of the devolved administrations.

What is the latest position?

NFU Cymru, NFU and NFU Scotland have formulated a full proposal on what members would like covered in any regulated contract terms for dairy contacts.

What about the processors?

The NFU is now talking through these proposals with processors and retailers to gain their views. We wish to will ensure that we are listening to any concerns, questions or potential unintended consequences and discuss how future mechanisms might work.

What next?

  • After Christmas NFU Cymru, NFU and NFU Scotland plan to put dates in the diary for regional farmer and processor meetings to go through the detail of the proposals.
  • We are looking to get a commercial lawyer to look at our proposals to check for unintended consequences
  • We will provide a full overview of all the feedback from meetings at the next dairy board on 10th January and NFU Cymru Dairy Board on 30th January and we can discuss potential next steps from there. 
  • We will provide full written briefing documents for members. These will be available once the consultation has been launched.

Click here read a blog from NFU National Dairy Board Vice Chairman Paul Tomkins which summarises the NFU’s position.

Members: Look out for a short article in the next edition of Farming Wales on the unified approach being taken by NFU, NFU Cymru, NFU Scotland and Ulster Farmers’ Union.

Last edited: 16:34 on December 18, 2018

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