Jersey Australia welcomes Burra Foods’ decision to offer dairy farmers a 1:1 payment ratio for fat and protein solids and continues to call on all processors to provide payment options that reflect the strong market demands for fat.
Jersey Australia President Chris MacKenzie said the Burra Foods’ announcement was a great benefit for dairy farmers milking Jersey cows with natural higher fat content. “Jersey breeders in South Gippsland will welcome the move to provide them a fairer return for their higher fat content milk supplied to Burra Foods,” Mr MacKenzie said.
Global shortages of butter and milk fat products for processing have led to increased emphasis on fat in farmer payments, however payments for protein still outweigh those paid for fat. “Burra Foods should be congratulated for being the first processor to move to bring the fat payment in line with protein and we call on all processors to provide payment equality for fat and protein milk components,” Mr MacKenzie said.
Jersey Australia’s recently commissioned Farming Together report highlighted the disparity between market demand and processor returns for fat-based dairy products to the farm gate returns farmers received. Jersey Australia has been leading the dairy industry call to action for a fairer and simpler payment system and milk component payment equality to ensure farmers producing higher fat content milk are receiving an appropriate return for their higher component raw milk.
Source: Jersey Australia