NFU Scotland has expressed deep concern following reports that many Scottish dairy farmers have received notifications of significant milk price reductions due to take effect in October. With input costs continuing to rise and farm margins under intense pressure, the Union warns that these cuts risk severely undermining confidence across the entire dairy sector.
Bruce Mackie, Chair of NFU Scotland’s Milk Committee, said:
“We are deeply concerned by the news that many Scottish dairy farmers have been hit with damaging milk price cuts. For some, those cuts are at a time when many had been expecting a long-overdue increase, based on recent contractual changes. These farmers had legitimate and well-founded expectations of a price uplift this autumn. Instead, they now face serious financial challenges and disruption to their business plans."
The Union points out that while processors and retailers have enjoyed a sustained period of price stability, enabling investment and planning, dairy farmers have had to navigate volatility, rising costs, and regulatory change.
“The dairy supply chain depends on farmers being able to plan and invest with confidence. Sudden, unjustified price drops damage that confidence and threaten not just individual businesses, but the resilience of Scotland’s rural economy and food security,” Mr Mackie added.
NFU Scotland is urging all milk buyers to avoid knee-jerk pricing decisions and to fully reflect the true cost of production in their pricing models. The Union continues to press for fairness and transparency across the entire dairy supply chain.
The Union is calling for immediate engagement from all processors and retailers, and reaffirms its commitment to supporting members through what could be a difficult winter ahead.
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