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scoobyscotlad
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Should the UK dairy companies not take note....


...of how many herd dispersals taking place this year?
In Scotland we aint talking small herds,one has 800 cows,the other 650.So size does not mean things are any easier.
Are the public not more aware of the plight of our risen production costs compared to price received?
"Country Living" website..
http://www.countryliving.co.uk/index.php/cat/17318

Scottish Daily Mail at the weekend did run an article saying that the price of a pinta would have to rise, citing the many dairy farms had left the industry.
They also had an interview with the owner of the 800cow herd being sold."Suicidal" was how he described milk prices.
Some of those MP`s in Westminster now have an idea with that report published,worth a quick read,they have got a grip of the problem i think..
http://www.fwi.co.uk//gr/APPGAnnualReport2006.pdf



20/2/2007, 21:36   
 
Will Richardson
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Re: Should the UK dairy companies not take note....



 If 25% of UK dairy farmers packed up as soon as possible it would make it a lot better for the rest of us.The milk price is not going to go up so we'll all have to go with the case that ''this could be as good as it is going to get for at least another 24 months or so''

 
22/2/2007, 12:20   
 
errolston
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The milk price is unlikely to change for the forseeable future in my opinion. Too much UK milk goes into low value products that do not bring a premium in the market. Until we can address that issue we will be stuck in the current situation.

---
Errolston_Holsteins updated 27th October 2007.
22/2/2007, 14:24   
 
scoobyscotlad
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Re: …


So,its a case of "hang on in there",ride out the storm,become that little bit more efficient...
Ok,so the amount of milk produced is going down year on year.The tap is slowly being turned off...
When the supply goes lower than the demand level,even with prices rising,surely at some point it would be physically impossible to just up the production with whatever number of cows there would be,i am guessing the overall cow numbers would be down as well?

22/2/2007, 17:40   
 
Craigalea
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Our milk price has risen with people leaving farms because of the drought. They were even talking about IMPORTING milk to cover contracts. They could of course pay us more so we can buy more feed.....

---
A quote from the merchandise department: "Difficult takes a while, Impossible I can do right away"
22/2/2007, 21:59   
 
Will Richardson
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Re: …


quote:

scoobyscotlad wrote:

So,its a case of "hang on in there",ride out the storm,become that little bit more efficient...





 Can you define efficient. because if you cut back feed you reduce milk yield and if you cut back fertiliser you reduce grass yield per acre.

  You could of course look at all the machinery in your shed and think do I need this gear? Would contractors be cheaper ?

  Am I paying too much for labour? Can I do with less staff?

 What about getting quotes for feed instead of sticking with the same feed company .. why not buy feed on a spec and put it out to tender?

 Fertiliser .. putting the right amounts of the right type on at the right time of year .. have you analysed the soil? Better use of manure and slurry ??


quote:

scoobyscotlad wrote:

The tap is slowly being turned off...






the rest of us have turned the taps on full.. so no chance there




quote:

scoobyscotlad wrote:

When the supply goes lower than the demand level






that will never happen in the UK










 
23/2/2007, 0:01   
 
scoobyscotlad
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Re: …


According to IPAQUOTAS website,5.1million litres less produced Jan07 compared to Jan06,cumulatively 87million litres less in the year to date,and the same last year.Is that not turning the tap off slowly?

I agree totally about defining efficient,cutting feeding,fertiliser etc not the answer.Cutting costs that little bit more was what i meant.
My wife was a buyer for a large american mobile telecommunications company and every month they asked their suppliers if they could supply at a better price,every month.
23/2/2007, 8:29   
 
foxleigh
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Should the UK dairy companies not take note....


there is a limit to how hard you can cut costs before it affects productivity.
and craiglea the milk price is still less than in the mid 90s (96 Im thinking) with everything else gone up in price.Even tho we have finally hit our autumn payments and the milk price has risen I still have way more bills to pay than our milk cheque will cover.
24/2/2007, 20:59   
 
Gavin56
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Re: Should the UK dairy companies not take note....


Has anyone read the latest MDC update?

The Actual Milk Price Equivalent is at an all time high premium to IMPE , the world price for skim powder is up 75% on the year and even the butter price is up 10%on last March.

The processing companies have been very keen on referring to market conditions as a reason for all the price cuts since 1995 , so will they be falling over themselves to offer significant rises now?

Thought not.

But surely if the butter/powder market can return 19.5 ppl then
1) all other milk product prices need to rise
and

2) If we can export butter/powder for that kind of money then there aint no sink products no more.
25/3/2007, 20:19   
 
foxleigh
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we are currently carrying an overdraft of 20k a month (milk chq is currently around 38k) This is on a farm that is currently drought proof except for grainmix.this week the corn will be chopped for silage so am expecting a bill of around 10000 and our round bale silage contracter has yet to bill me for the last 3 cuts another 6 grand.I see another bin of urea has arrived another 6 and then there will be the seed bill for 90 acres another 5 or 6 all ontop of the normal bis ie farm repayments,insurances,grainmix etc
.tralalala .....and the accountant thinks we are gonna have a tax problem......
last week the parmaat suppliers did a ring a round and organised over half of the northern suppliers to a meeting with management asking for a 6 - 8 cent a litre increase to help cover costs... we shall see

Last edited by foxleigh, 26/3/2007, 21:24
25/3/2007, 21:11   
 
FiringOnAllFour
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Re: Should the UK dairy companies not take note....


Hanging on, and weathering this storm is what we've been doing for the past ten years. Promises that it'll only be for another year or two are getting very hollow indeed.

Milk powder is propping things up at the moment, but that won't last all that long. And farmers shouldn't treat it as a reprieve. Lots of people in my country have left the industry, but there are still too many that don't want to quit, despite working for nothing. I suppose that includes myself.

I had a low day yesterday. It was sunday, and there were problems and I was on my own and was tired. Its difficult to avoid thinking about how much you are getting for your trouble at the end of a day like that.

What we could do with now is the SFP wiped out overnight like New zealand got. But there isn't a monkeys chance - they'd rather we slowly and quietly suffocated to death.



26/3/2007, 16:02   
 
scoobyscotlad
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Re: Should the UK dairy companies not take note....


SFP wiped out overnight?
So I take it you are generating enough profits to do without it?
Over here,the suckler men,sheep men and ,i thought, most of the dairy men could not do without the SFP.
The idea that the SFP be kept separately from the farm bank account went out the window the day after it arrived in the bank!!
 
26/3/2007, 17:36   
 
FiringOnAllFour
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Re: Should the UK dairy companies not take note....


Well, like it or not, it will be wiped out. Its a broken crutch, and theres no use leaning on it. Far better that the dairy companies and supermarkets would realise that we don't have any crutches to lean on other than a fair milk price, and thats the only reason we will sell them milk. Not so that we can sell milk for nothing and live off the sub.

27/3/2007, 10:20   
 
scoobyscotlad
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Re: Should the UK dairy companies not take note....


Surely the dairy companies realise we don`t have to milk cows to receive our SFP.We could sell the cows tomorrow and still receive our payment for the next 4 or 5 years.Maybe if we were all hard nosed businessmen we would be doing that and not carrying on just because we like working with cows.
Our idea is to invest a little of the SFP wisely in our setup,so we are hopefully(???) ready for it when it comes to an end,starting with the parlour which is so outdated(12/12 jars).But we will be doing all the building work ourselves and maybe even the stallwork.

27/3/2007, 11:39   
 
foxleigh
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Should the UK dairy companies not take note....


dairy companies and superarkets dont care about fair prices to farmers - all they are interested in is PROFIT - to themselves and their shareholders.
safeway here recently cancellled a broccoli grwers contract after he had a cold store ful of the stuff because they could get it cheaper from overseas - i heard it al went as stock feed at a big loss to the grower.The ceo of that company was heard to say on the radio that they get 35% profit on ALL sales of agricultural produce
27/3/2007, 21:12   
 
FiringOnAllFour
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Re: Should the UK dairy companies not take note....


Yes I know we could all stop tommorow. But we don't, do we. We just keep mindlessly plugging on because we've got a lot tied up in it and a hunderd and one other reasons.

The 'decoupled' single farm payment is an indirect production subsidy, because we allow it to keep us alive. Every other industry would take the money and run. But we are farmers, we are different. They underestimated how much we are prepared to suffer til the bitter end.

Ok. I better lighten up before i'm heckled.

I don't disagree with your parlour improvements. Seeing as the money's there, you may as well do something useful in tax terms.

But I for one, would rather see a rationalisation of the dairy industry so that we could invest in our businesses with 'milk' money, rather than with a transition sub that isn't going to be there in five or less years time. The milk price is going to have to cover reinvestment and our time, or the industry will have to shut shop.

27/3/2007, 21:17   
 
scoobyscotlad
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Re: Should the UK dairy companies not take note....


Following on from the parlour updating bit, i have a question for the irish(and maybe UK)dairymen but think i better post it in the management section...
28/3/2007, 11:37   
 
scoobyscotlad
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Re: …


quote:

scoobyscotlad wrote:

The tap is slowly being turned off...






the rest of us have turned the taps on full.. so no chance there




quote:

scoobyscotlad wrote:

When the supply goes lower than the demand level






that will never happen in the UK


quote:

errolston wrote:

The milk price is unlikely to change for the forseeable future in my opinion. Too much UK milk goes into low value products that do not bring a premium in the market. Until we can address that issue we will be stuck in the current situation.











How things have changed in a little over a year...









Last edited by scoobyscotlad, 1/8/2008, 15:42
1/8/2008, 15:40   
 
ayrshire cowboy
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Should the UK dairy companies not take note....


what you mean things not changed that much or are you rich
1/8/2008, 19:46   
 
scoobyscotlad
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Re: Should the UK dairy companies not take note....


I mean nobody thought the milk price would rise or that we could have a potential supply shortage in such a relatively short period of time,from back in March 2007.

1/8/2008, 22:15   
 
ayrshire cowboy
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Should the UK dairy companies not take note....


ok i hope we all get over 30p soon we need it
2/8/2008, 14:15   
 


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