Competition rules in the UK will be temporarily relaxed to allow the dairy industry to address current market challenges posed by Covid-19, it has been announced.
The legislation, which will be laid shortly, would allow the sector to avoid waste and maintain productive capacity to meet future demand.
UK farmers produce over 40 million liters of milk every day, but decreased demand from the hospitality sector and reduced collections has caused “unprecedented disruption” to dairying, the National Farmers’ Union stated during a recent crisis meeting with the government.
The outbreak has seen the almost complete loss of the food service and hospitality markets, as well as increasing price volatility in global markets which has left farms and processors under pressure.
This has led to some farmers having no other option but to dispose of milk on the farm. But the new announcement will enable collaboration between dairy farmers and processors so they can avoid their surplus milk going to waste.
Full Content: Farming UK
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