Guernsey Dairy Farmers Buoyed by Increased Financial Support

Local dairy farmers are expressing a renewed sense of optimism following the States' decision to bolster financial support for their industry. This move comes as a significant relief, particularly in the aftermath of disruptions caused by the Covid-19 pandemic and the ongoing crisis in Ukraine.

The dairy farm management payment system has provided just over £1 million annually to the industry over the past five years. However, last week the States agreed to raise this amount to £2.35 million, with the provision for increases in line with inflation.

Guernsey Farmers’ Association president, Michael Bray, welcomed the announcement, stating, "The support from the States has been massively encouraging to all of us dairy farmers. It brings financial stability to the industry, which we haven’t really had since Covid and the crisis in Ukraine."

The financial challenges faced by farmers have been growing, with rising costs leading to a decrease in herd sizes and farm profits. Bray highlighted that the financial review of the dairy showed an evident need for the additional support, stating, "The extra funding is massively appreciated. This reverses the mistakes the States have made since the 2014 review when funding was cut, and is important in looking after the farmers."

Looking forward, the Committee for the Environment & Infrastructure plans to conduct a comprehensive review of the dairy industry by the end of 2030. This review will assess the financial needs of the industry, taking into account any operational or prospective new dairy facilities and potential cost savings.