NFU response to Muller investment announcement

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The liquid milk, dairy ingredients and chilled yogurt & desserts business has also confirmed that it is to invest a further £100m over and above normal planned expenditure in its operational, innovation and marketing capabilities over the next 18 months.

Capital projects will include installing new filling lines and further upgrading the capacity and capabilities of existing production facilities.

NFU chief dairy adviser Sian Davies said: “Today’s announcement by Muller of a further £100m commitment to grow the UK dairy category is welcome news.

“The UK is not self-sufficient in dairy products so we hope this move will help achieve the goal set by industry in its ‘Leading the Way’ strategy to eliminate our dairy trade deficit. The best way to do this is by displacing imports and exporting where it makes business sense.

“Leading the Way also asked dairy processors to incentivise efficient dairy farmers, and this includes supporting them through difficult market situations.

“Earlier this year the NFU called for better, fairer supply chain relationships. While Müller has made no secret that it wants to be the biggest and best milk buyer in the UK, it is vitally important that the company takes its farmer suppliers with them on this journey.”