Asda pledges to support farmers by paying more for milk

Supermarket chain Asda has pledged to increase the price it pays its milk suppliers

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Asda are set to increase the price of milk in store to support British farmers

The supermarket’s decision to pay more for its milk supplies follows a series of protests by members of the UK farming industry over claims milk is sold in supermarkets for less than it costs to produce.

Farmers estimate it costs 30-32p to produce a litre of milk but on average they are only paid about 23.66p per litre by supermarket buyers.

Asda is the second supermarket to pledge to pay farmers more with today’s announcement coming just two days after Morrisons said it would be introducing a new ‘premium’ milk brand to ensure dairy industry workers got paid more.

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A spokesman for Asda said:

Today, we have confirmed to our milk supplier, Arla, that we are increasing the price we pay per litre from Monday to a level that will assist our farmers during the current crisis.

Asda’s origins are in dairy farming which is why we are acting in the best interests of our farmers and our customers by increasing the price we pay, introducing the Farmer’s Marque label and not passing on any of the costs to customers – our retail price stays the same.

– ASDA SPOKESMAN

The National Farmers Union said it was pleased Asda had agreed to take steps “to support farmers in their hour of need”.

Major supermarket chains Tesco and Sainsburys have so far ruled making similar moves to Asda and Morrisons saying they pay a fair price based on the cost of production.

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