SUPERMARKETS will be asked to sign up to a list of commitments drawn up by UK ministers to help farmers.
Yesterday Scottish Rural Affairs Secretary Richard Lochhead took part in round-table talks in London with his counterparts from England, Wales and Northern Ireland.
The meeting was prompted by what the National Farmers Union (NFU) calls a “crisis” in milk pricing, which it claims is pushing producers out of business.
Now ministers are to press major retailers and the food service sector for change.
The plan, which aims to ensure farmers are paid a fair price for their products, involves agreeing commitments on issues including branding, contracts and sourcing, and will initially focus on milk before expanding to take in products including lamb.
The ministers will also work together to ensure action to provide the “best possible support” for the sector is agreed at an EU summit next month.
Following the meeting, Lochhead said: “There is no doubt that the farming industry is facing serious challenges, with farmers not even getting back the cost of production.
“This is a global issue and we need urgent action at a Scottish, UK and EU level to support the industry.
“I am pleased that farming ministers and industry leaders from across the UK will now urgently agree a list of commitments to support farmers that we will ask supermarkets and the food service sector to sign up to, including action on sourcing, labelling, contracts and contract conditions.
“We need to act before it’s too late and this will help make sure that happens. I encourage the food industry to step up to the plate and support farmers in their hour of need to prevent any potential loss of supply.
“However, this is a global issue and we also need the EU Commission to do more.
“That is why we will closely investigate how the EU can best help the sector and ensure this is raised at the forthcoming summit to ensure farmers get the help they need at every level.”
Farmers estimate the average cost of producing milk is 30-32p per litre, but receive less from major retailers. Protests around the issue have led Aldi, Lidl and Asda to agree to pay a minimum of 28p per litre, whilst Morrisons will offer 26p from later this month.
The supermarket has also developed a new line of premium milk, which will sell at 10p extra per litre, which will go directly to to farmers.
Low pricing has been attributed to an oversupply of milk and the NFU said “something has gone fundamentally wrong” with the supply chain.
Meanwhile, NFU Scotland is calling on the Scottish Government to put land management and agricultural production at the heart of its Land Reform Bill.
In a submission to the SNP administration, the union also calls for safeguards for landowners. President Allan Bowie said: “Given that land reform is likely to be an ongoing process, it is vital at this early stage in the debate that the emphasis is firmly focussed on how land is utilised, rather than who holds ownership.
“Farming will always be the primary land use on the bulk of Scotland’s land and our food and drinks industry is a growing employer across Scotland.”
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