Key messages:
- Tesco will now supply all its One-Stop convenience shops with milk from the TSDG pool; an additional 25 farmers will be joining the pool
- 33 farmers made the top 5% in this year’s QVIS results
- Congratulations to Neil Baker, Somerset dairy farmer who was announced as TSDG’s Dairy Farmer of the Year 2017
It is clear that Tesco have been undergoing a change in direction in the last few years, concentrating on innovation, efficiency, R&D and also a renewed focus on own brand products – Tesco has reduced the number of products on its shelves by 26% which has led to a growth in the sale of core products. The generation of cash from “operations” was also named as one of Tesco’s 6 key strategic drivers, with the recent acquisition of the wholesale food company Bookers meaning that Tesco’s target market has moved from a value of 115bn to 200bn.
Dairy wise, Gordon Gafa was positive about recent sales; figures showed 99.9% of households buy dairy and milk is bought on average once every three days. He announced that Tesco would now be supplying all of its One-Stop shops with milk from TSDG farmers with the group extended to welcome an additional 25 dairy farmers.
Bill Higgins TSDG Dairy Farmer of the Year 2016 spoke about how his herd and vision has changed in the 10 years since he’s been on the TSDG; he now milks 520 cows with 300 followers, has invested in staff, buildings and cubicles and has a long-term focus based around stability, competitiveness and supply chain efficiency. He emphasised that measuring high performance is not just about reducing antibiotic use but improving farm management, animal health and welfare and benchmarking against world class performers.
The findings from the first QVIS (Quality, Value, Innovation and Service) review were announced:
Year 1 findings:
- Level Supply: 255 farmers hit the top bands
- Milk Quality: 251 farmers hit the top band
- Farm Cleanliness: 509 hit the top band
- Red Tractor: 348 farmers passed the audit with 0 non-compliances
The 33 farmers in the top 5% of the group will be offered an additional 100k/l. Those in the bottom 5% who requested a consultation will have been visited by Promar. Promar will then conduct a second visit in January to check direction of travel before a panel reviews whether after 6 months each farm has done enough to stay in the group.
TSDG Dairy Farmer of the Year
Neil Baker, NFU Member and dairy farmer from Somerset was announced as the TSDG’s Dairy Farmer of the Year 2017. Neil’s 1000 cow dairy unit has a key focus on health when it comes to reducing mastitis, eliminating lameness and increasing conception rates. The farm also produces its own vintage, handmade cheddar and sets ambitious performance targets which all staff are committed to.
The day was positive with most farmers who attended seemingly happy with Tesco’s direction of travel; an interactive poll taken on the day showed 76% of attendees believed that the TSDG had driven their business to be more competitive and efficient and 95% believed they had benefited from being a member of the group.
More of our work on dairy on behalf of NFU members: