Lactalis Ends Contracts with 12 Scottish Dairy Farmers, Sparking Outrage from NFU Scotland

United Kingdom (UK) 27.09.2024

Source: DairyNews.today

Lactalis, a French dairy processor, has abruptly served 12 Scottish dairy farmers with a 12-month termination notice, a move that has triggered strong backlash from the National Farmers Union (NFU) Scotland. The decision, affecting ten farmers in Dumfries and Galloway and two in Ayrshire, was made without clear reasoning, according to the union.

Lactalis cited a business review of its milk supply in southwest Scotland as the cause for terminating the contracts. The Milk Suppliers Association (MSA), a cooperative that delivers 210 million litres of milk annually to Lactalis' Stranraer creamery, represents the affected farmers.

NFU Scotland is seeking a meeting with Lactalis and MSA to obtain a full explanation. The union has also called on farmers to seek support from NFU Scotland and the Scottish Dairy Hub. NFU Scotland’s vice president, Andrew Connon, expressed frustration, pointing to the lack of protection for producers in their contracts.

The situation follows a similar reduction of Scottish dairy farmers supplying the Tesco Sustainable Dairy Group for own-label fresh milk. Connon emphasized the need for stronger contractual protections for farmers, underscoring the importance of the new milk contract legislation in safeguarding producers from arbitrary contract terminations.