Dairy farmers bemoan low milk prices in SA
SOUTH African milk prices would have to increase substantially to avert a crisis in the industry, Milk Producers Organisation chairman Tom Turner said on Monday. The organisation said in its latest monthly report that "the gap between South African producer and import parity prices are at the highest level ever". This showed how low the price paid to "under-pressure" South African dairy farmers by milk processors was, said Mr Turner.
If local prices do not move up, something is going to break," Mr Turner said. "The costs of producers (farmers) in Europe is not that different from (those in) South Africa, but we are selling milk at a 30% discount to world dairy prices," he said.
He said the most recent increase of 15c/l, about 2%, paid to farmers by South Africa’s biggest milk buyer, Clover, is "laughable".... Read the full, comprehensive news article and discuss at Business Day