NFU Conference 2017

Driving Dairy Forward

Chaired by Mel Squires, South West Regional Director

Running order • Introduction • Video message from key industry individuals • Driving Dairy Forward: NFU Dairy Board’s

Three Key Priorities for 2017 • Driving dairy post Brexit • Questions • Farm Minister joins break out session • Questions

Driving Dairy Forward: The NFU’s 3 key priorities

Michael Oakes NFU Dairy Board Chairman

NFU Dairy Board 2016 - 2018

‘Our future will be built on better, fairer supply chain relationships, a

better business environment and taking

every opportunity to promote British dairy’

Questions – warm up

1. For those of you that attended, did you enjoy dinner last night?

2. Are you a dairy farmer?

Questions

1. Should the NFU continue their work on minimum contract terms ?

2. Are you a member of a producer group that works with your milk buyer?

3. Would you like someone to monitor the relationship between farmer and milk buyer?

Questions

1. Would you like more stability in your milk price?

2. Would you be willing to insure against low market returns?

3. Today if you were offered a fixed price fixed term fixed volume contract at 25ppl for 12 months would you accept it?

Questions

1. Are you on social media? 2. Do you promote dairy through these means? 3. Should the Red Tractor logo be on more dairy products? 4. Will you be taking part in Open Farm Sunday?

Driving UK Dairy forward post Brexit

EU support for Dairy

Brexit and Dairy

Trade

2nd largest dairy trade deficit in the world #1 China

What do we import?

Trade

Labour

Cost of Milk Production

Net margins after full economic costs from 2010 to 2014

Energy corrected milk (ECM) (kg) = (milk production (l/year) x 1.033 x (0.383 x butterfat (%) + 0.242 x protein (%) + 0.7832)/3.1138): allows comparison between milk types with different solid contents

Source: IFCN/AHDB Notes: Costs of production include cash and non-cash costs less non-milk income (IFCN methodology)

Capital productivity kg milk (ECM)/£ capital

Note: Country name indicates the typical farm herd size Source: IFCN

Energy corrected milk (ECM) (kg) = (milk production (l/year) x 1.033 x (0.383 x butterfat (%) + 0.242 x protein (%) + 0.7832)/3.1138): allows comparison between milk types with different solid contents

Domestic Agricultural Policy

PGI status – 77 products, 15 cheeses, 1 cream Since 2007 Bonchester cheese Buxton Blue cheese Dorset Blue cheese Dovedale cheese Exmoor Blue cheese Single Gloucester Staffordshire cheese Stilton Blue cheese Stilton white cheese Swaledale cheese

Swaledale ewes cheese Teviotdale cheese West Country Farmhouse Cheddar cheese Yorkshire Wensleydale cheese Since 2014 Beacon Fell traditional Lancashire cheese And in 2016 Cornish Clotted Cream

Questions

1. Are you confident about dairy post 2020? 2. Should we focus more on domestic market

than on export market? 3. Are you concerned with future labour

availability in the dairy sector? 4. Should the school milk scheme be extended

post Brexit?

Further questions?

Farm Minister, George Eustice MP