Dairy farmers may face higher bought-in feed price

THE EU compound feed industry predicts a 10% slump in dairy feed production, as under-pressure dairy farmers try to make ends meet.

Industry figures show farmers bought less feed in 2008, and used more home-grown cereals on their farms.

Similar measures will be necessary this winter — especially if a feared explosive surge in soya bean prices occurs this summer. Market analysts warn that US soya bean stocks could be exhausted before the arrival of the new crop in the autumn.