NFUS remains at the forefront of lobbying for milk contract reform to deliver fairness and transparency to the milk supply chain.

NFU Scotland’s Milk Committee established a sub-group dedicated to contract legislation reform. Following the UK Government’s most recent consultation on milk contracts, NFUS submitted a significant number of amendments that it believes would strengthen any potential legislation. It also continues to work very closely with other UK farming unions.

The voluntary code on milk contracts, introduced in 2012, attempted to address the imbalances in the chain but few milk purchasers adhered to its principles. The UK Government subsequently stated its desire to end unfair practices in the supply chain and it is expected that a Statutory Instrument on milk contracts will be brought forward by the Department for Environment, Food and Agriculture in Spring 2024.

NFUS vice-president Alasdair Macnab, who sits on the Union’s Milk Committee said: “While progress on milk contract reform is taking far longer than any Scottish dairy farmer would like, it remains imperative that the draft regulation, when eventually laid, is fit for purpose and delivers the fairness and transparency across the whole of the UK that everyone is seeking, including the Government.

“We continue our strong partnership working with the other farming unions on the need to reform dairy contracts. However, we also continue to highlight nuances exclusive to the dairy supply chain in Scotland, which underlines the importance of delivering appropriate regulation.

“NFU Scotland and the other farming unions have been pushing for contract reform since 2011 and we will continue to work together with Defra, in the crucial weeks ahead, to get this over the line.

“Getting it right for milk is hugely important as successful contract reform in this area has implications for what might be delivered to improve contractual arrangements in other sectors. Successfully bringing forward statutory milk contracts into legislation could be the foundation for fairer contracts for all primary producers.”