Tim Gibson Updates FarmersMart
on DFB

After the recent happenings with Dairy Farmers of Britain many people are reassessing their options and some may indeed decide to come out of dairy farming altogether and who could blame them after such a massive blow?

Committed to the Bleu since 1990, John Davison, who is president On the other hand though, perhaps its time we look at this as an opportunity for the dairy farmer to have his voice heard and make a difference to the current way things work i.e. milk prices, whilst we have the public’s attention. Is it also time to look at working ‘smarter rather than harder’ for our money in future, possibly by increasing herd numbers and putting into place new systems to make life easier.

Since the start of the rumours about DFB troubles, many suspect things would come to an end in one way or another, but even the best dairy pundits and industry commentators did not see the end coming as it did and when it did. Farmers affected have lost thousands and effectively have been forced to bear the cost of industry rationalisation after being the ones who hoped, by sticking together, could make a difference to the industry.

Other milk buyers have said for years that the weak co op was the very thing forcing low prices on the industry by selling milk too cheap, and that excuse has always been the one used in producer meetings up and down the country when excusing price cuts. Now is the time for the rest of the industry to prove that was the reason and milk prices should rise? Or will another co-op be the target and used as the excuse for low prices.

For the rest of the supply industry the fallout of DFB has yet to be felt. Mays milk cheque failed to arrive and the easy thing for the farmer is to not write cheques to suppliers who he owes. Main ones being feed bills and the May silage making costs. So can the supply chain cope without a months income? It would be assumed from the farm end that “they make money out of me” attitude and can stand it, but the grim reality is that just like farms the margin has been squeezed and many supply companies are also struggling.
The DFB crisis may not only have farmer as casualties but some of the supply chain to dairy farmers may also falter and some may fall. This will affect all farmers not just those who have been misfortunate to have supplied DFB. Just imagine if your dairy engineer went out of business; who would you call to come to your milk tank when it broke in an emergency?

For more info or to discuss further contact Tim Gibson - email tgibson@uk.lelycentre.com