Saputo Dairy UK issued a 12-month notice to 13 dairy producers supplying milk to the Davidstow cheese milk pool in southwest UK, affecting over 20 million liters of milk. This move raises concerns over the consolidation of the dairy industry and the future of local farmers.
Saputo Dairy UK, a leading player in the dairy industry, has given a 12-month notice to 13 dairy producers supplying milk to its Davidstow cheese milk pool in the southwest of the United Kingdom. This decision affects over 20 million liters of milk, which represents roughly 3.5% of Davidstow’s total volume. The move has raised concerns among local farmers and the wider UK dairy industry.
Saputo Dairy UK, a division of the global Saputo Inc., is well-known for its high-quality dairy products, including the famous Davidstow cheese. The company announced that it would assist these farms during the transition period as they look for new buyers for their milk. Despite these challenges, Saputo has promised support to the affected dairy producers, which represents a significant part of the supply chain in the region.
This decision comes at a time when the UK dairy industry is experiencing consolidation. The number of dairy farms in Great Britain has fallen from 13,000 a decade ago to just 7,270. Nonetheless, total milk production in the UK has increased by 3% from the previous year, indicating a complex and evolving industry landscape.
Farmers and industry stakeholders are concerned about the future of smaller dairy producers and the impact this could have on the local dairy supply chain. With fewer dairy farms remaining, the UK’s dairy industry is facing increased pressure to adapt to the changing market dynamics.
The news also highlights the growing trend of consolidation within the industry, leaving farmers with limited options for milk buyers and raising questions about the future of dairy farming in the United Kingdom.
