Farmers have suffered another blow as dairy prices are set to rise alongside fuel costs

Farmers are about to be hit with another blow with the price of milk and butter set for huge increases. Following last week’s rise in energy prices amid the cost of living crisis, industry bosses fear rising feed, fertilizer and fuel costs will soon hit raise the price of dairy products.

Dairy farmers held crisis talks in Brussels last week over rising costs and supply chain disruption. Online Mail Reports that, according to the UK’s leading adviser to dairy farmers, Kite Consulting, milk prices could rise by up to 50% and butter by up to 30%.

The war in Ukraine is also thought to have had an impact on the skyrocketing increases, with four pints of milk set to rise from around £1.15 to around £1.60 to £1.70 and butter from £1. £.55 to £2. Experts say cheese prices could inflate by 20%, from £8 per kilogram to £10/kg, as milk is a big part of the manufacturing process, while yoghurts could also be affected.

Michael Oakes, chairman of the National Farmers’ Union Dairy Council, told the Daily Telegraph: ‘I was paying around £7,000 for an artic [articulated lorry] load of fertiliser, and this year it’s £28,000. It would have been a little less before Ukraine came in, but it took another big leap because we had already seen higher gas prices, which has implications for fertilizer costs. »

It comes on the back of the British Egg Industry Council (BEIC), saying there could be egg shortages in “a few weeks” due to rising production costs. With farmers losing money with every egg due to rising feed costs, adding 25-30p a dozen, it is believed that between 10-15% of farmers could exit the industry due to unprecedented costs .

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