Farmers have been left fuming by a price war by supermarkets that has left milk costing half the price of bottled water. The big four supermarkets, Tesco, Sainsbury’s, Asda and Morrison’s now offer an 8 pint bottle of milk for £2, the equivalent of 44p a litre.
The supermarkets are also selling Highland Spring water for 88p a litre, which is double the cost of the milk.
The farmers claim that the supermarkets have now devalued the milk in the eyes of the consumers, leaving many dairy farms producing milk at a loss.
Whilst the farmers are complaining about the cost of milk on sale, some supermarkets are actually doing their bit to support the farmers. Both Tesco and Sainsbury’s have signed farms to an exclusive deal, in return paying them more than the market rate, and taking on the loss themselves.
A spokesperson from the British Retail Consortium points out, ‘Just because customers are getting good deals for milk, doesn’t mean farmers are losing out. The dairy industry’s own figures show the top 11 best-paying milk contracts are all paid by supermarkets.’
How do you think the supermarkets can help dairy farmers, and would you pay more for milk if you felt it would help local farmers?