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BETTER DEAL FOR DAIRY FARMERS

03/04/2007

Murdo has welcomed the announcement today (3 April) that Tesco, the UK's biggest dairy customer, will offer direct contracts to Scottish dairy farmers to provide it with fresh milk and raise the price the farmers receive from 18p per litre to 22p per litre.

Murdo has been a strong supporter of Scottish dairy farmers and has met with local farmers in North Perthshire and Angus to discuss the challenges they face as well as meeting with Tesco's in the past to discuss a fairer deal for farmers.  Murdo has campaigned for a better deal for Scotland's farmers and has also called for a Code of Practice to be set up between supermarkets and farmers.  This would be a voluntary agreement between supermarkets and farmers which would mean they work together and regulate the market between them.

Commenting, Murdo said:

"It is welcome news that Teso will increase the price farmers receive for a litre of milk by 4p, raising it from 18p per litre to 22p per litre.  This is the sort of news that dairy farmers have been calling out for as it is a fairer deal for them and this annoucement is a step in the right direction for the farming sector as it shows respect towards their work, effort and skill.

"I have continuously campaigned to see a fairer deal for all farmers and I have lobbied Tesco in the past to see that farmers receive prices that reflect the value of their produce.  I have had the opportunity to speak to many local farmers and the farming sector is extremely important in Perth & Kinross and Angus.

“I believe that we should set up a Code of Practice between supermarkets and farmers.  This would be a voluntary agreement between supermarkets and farmers which would foster greater respect from one another and allow themselves to regulate their market.  If need be, we should look at making this legally enforceable if the supermarkets fail to adhere by the code.

“It is clear that our country needs a successful and strong farming sector.  That is why it is important that the UK's biggest milk buyer offers a fairer price for the goods that they are buying from our local farmers.  We must have a vibrant farming community in Perth & Kinross and Angus.  I urge local residents to support our farmers and shop at local Farmers’ Markets where possible.  I will continue to press for a better deal for our farmers and for a Code of Practice to be set up that will reflect the work done by our farmers.”