MP backs calls for fairer and sustained farmgate prices for NI milk producers

Upper Bann MP Carla Lockhart has backed calls from the Ulster Farmers’ Union (UFU) for a meaningful and sustained increase in the base price paid to dairy farmers, warning that temporary bonuses must not be used to mask the need for a fairer return for the milk they produce.

The independent unionist MP said that while the recent winter milk bonuses announced by dairy processors are welcome, they do not address the fundamental issue of ensuring farmers receive a sustainable price that reflects both market conditions and the rising cost of production.

Ms Lockhart said: “Dairy farmers are the backbone of our rural economy and play a vital role in Northern Ireland’s world-class agri-food industry. They deserve a fair return for the hard work, investment and commitment involved in producing high-quality milk all year round.

“Out-of-season bonuses are welcome and provide an incentive for farmers to maintain production during the winter months. However, these payments are temporary, and must not be allowed to disguise the need for a meaningful increase in the underlying base milk price.

“The base price determines the long-term sustainability of dairy businesses, and farmers need confidence that the price they receive for every litre reflects the realities of production.”

The MP pointed to strengthening international dairy commodity markets, saying: “These figures demonstrate that there has been a significant improvement in market returns over recent months, yet dairy farmers are still facing considerable financial pressure.

“Feed costs have risen, with further increases expected in the New Year. Add to that the continued burden of fuel, electricity, straw and fertiliser costs, and it is clear that the financial pressures on dairy farming families are far from easing.

“Farmers cannot be expected to absorb ever-increasing production costs while seeing improving commodity returns fail to translate into a fairer price at the farmgate.”

Carla Lockhart said: “Processors must ensure that improvements in market returns are passed fairly down the supply chain. There is no justification for dairy farmers being left behind while prices for dairy products strengthen.

“Dairy farming requires significant investment, forward planning and confidence. If we want to maintain milk production, support family farms and protect Northern Ireland's thriving dairy industry for the next generation, farmers must receive a sustainable price that allows their businesses to remain viable.

“Temporary bonuses are welcome, but what our dairy farmers need is a lasting and meaningful improvement in the base milk price.”

The MP has also acknowledged that several key processors have stopped, or are phasing out, the monthly Red Tractor bonus paid to farmers.

Ms Lockhart added: “I understand that dairy farmers supplying one of the province’s leading dairies, were informed in writing that the 0.2ppl Red Tractor bonus will be phased out over the next 12 months, and replaced by an

equivalent sustainability bonus linked to the Bovine Genetics Programme. This is causing significant concern for dairy farmers across Northern Ireland. “Farmers have invested significant time and effort in meeting Red Tractor standards, a widely recognised mark of food quality across the UK. It is unfair to pull the rug from under them and replace this payment with a scheme that many have serious reservations about.”

The MP continued: “Farmers need support, not another layer of bureaucracy dressed up as sustainability and designed to satisfy environmental ideology. With Red Tractor recently consulting on reducing unnecessary paperwork and developing a more farm-specific approach, this decision sends entirely the wrong message.”

“The £60 million Bovine Genetics Programme raises significant questions about value for public money, independent oversight, the suitability of its methodology for Northern Ireland’s cattle population and the tangible financial benefits for farmers. DAERA must provide clear answers, including whether existing genomic testing arrangements outside of SRG-membership will qualify for the available monetary rebate.”

She added: “Genotyping can be a useful breeding tool, but it must complement proven genetics, practical experience and sound herd management. Farmers cannot farm by figures alone, and pedigree breeders have been building profitable herds for years using established methods.

“The Soil Nutrient Health Scheme, the Bovine Genetics Programme and carbon auditing should be offered as voluntary, practical tools, not compulsory hurdles linked to financial penalties resulting in the loss of much-needed Government support.

“Removing a 0.2ppl bonus is another blow for dairy farmers already under financial strain. Neither public funding nor milk payments should be used as leverage to push farmers into schemes without clear evidence of the benefits to their businesses.”