Oral Answers to Questions

Marcus Jones Excerpts

Thursday 17th March 2011 Commons Chamber

[Mr Speaker]

I call Mr Douglas Carswell. He is not here.

[Mr Marcus Jones (Nuneaton) (Con)]

I met a number of Warwickshire dairy farmers last week and they told me that they are still receiving less for their milk from the supermarkets than it costs to produce. When the high cost of feed is added to that, it will either drive farmers away from producing milk or out of business altogether. What can the Secretary of State do to support our dairy farmers and protect UK food security?

[Mr Paice]

My hon. Friend has identified a real difficulty in the dairy sector that, as he rightly says, affects most dairy farmers throughout the country. The biggest challenge is the range of prices, which go from the relatively acceptable prices paid to producers who are designated into the liquid supply chain down to the very low prices paid by processors. I am working through the dairy supply chain to try to improve the overall market structure so that we can raise prices at the bottom, which will create an upward pressure right through the chain.