Milk price war bad for producers

THE latest round of milk price discounting in supermarkets has left dairy farmers between a rock and a hard place, with very little room to manoeuvre.
Milk price war bad for producers

They are being paid less today for milk than they were a decade ago. They now fear that they will be asked to bear more economic pain, due to the supermarket price war cut to 99 cent for two litres of milk.

The farmer's share of what a consumer pays for milk has shrunk over the years to about one fifth which must go into investment in infrastructure, up-to-date hygienic facilities, livestock, other production and labour costs, and enough profit for living expenses.

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