unbeliever Posted August 12, 2015 Share Posted August 12, 2015 Do you think the farmers will return the favour when there's a milk shortage and prices are running well above production costs? Farms are businesses. They're subject to the market. Sometimes it works in their favour and they make a bucket-load, and sometimes not so they make a loss. If you're going to mess with this system it has to run both ways. You should have an excess profits tax on milk for when the prices are high. Far better to leave it alone. The less well runs farms will fail and be replaced by new, better run ones, or by the expansion of existing well run ones. Messing around with the market in the way you describe just promotes inefficiency and in the long run hurts everybody. Link to comment Share on other sites More sharing options...
TJC1 Posted August 12, 2015 Author Share Posted August 12, 2015 Our Cow Molly is £1.05 a litre. I have no problem paying that. Local, fresher and hasn't been passed up a long supply chain siphoning off money at every stage. But then I'm not the supermarket's target audience. Somehow supermarket milk doesnt taste right. When you think some farmers families use the food banks they donate to, leaves a sour taste in the mouth. ---------- Post added 12-08-2015 at 10:39 ---------- Do you think the farmers will return the favour when there's a milk shortage and prices are running well above production costs? Farms are businesses. They're subject to the market. Sometimes it works in their favour and they make a bucket-load, and sometimes not so they make a loss. If you're going to mess with this system it has to run both ways. You should have an excess profits tax on milk for when the prices are high. Far better to leave it alone. The less well runs farms will fail and be replaced by new, better run ones, or by the expansion of existing well run ones. Messing around with the market in the way you describe just promotes inefficiency and in the long run hurts everybody. Farmers are running at capacity, working hard, thats not the issue. Business is not only pounds on a spreadsheet. I think market interference is required to save british farming. Link to comment Share on other sites More sharing options...
unbeliever Posted August 12, 2015 Share Posted August 12, 2015 Farmers are running at capacity, working hard, thats not the issue. Business is not only pounds on a spreadsheet. I think market interference is required to save british farming. Based on what? They're making less money than usual. If they're not well run, they'll fail. When some fail, supply will fall and prices will rise. The problem is self-correcting. Why dairy farming? Should we rescue any business that gets into trouble? Or is this a round-about way of trying to get everything nationalised? Do you think the farmers will return the favour when there's a milk shortage and prices are running well above production costs? Link to comment Share on other sites More sharing options...
TJC1 Posted August 12, 2015 Author Share Posted August 12, 2015 Based on what? They're making less money than usual. If they're not well run, they'll fail. When some fail, supply will fall and prices will rise. The problem is self-correcting. Why dairy farming? Should we rescue any business that gets into trouble? Or is this a round-about way of trying to get everything nationalised? Do you think the farmers will return the favour when there's a milk shortage and prices are running well above production costs? The reason farmers arent getting a fair price for milk isnt because farms arent run well. Link to comment Share on other sites More sharing options...
unbeliever Posted August 12, 2015 Share Posted August 12, 2015 (edited) The reason farmers arent getting a fair price for milk isnt because farms arent run well. No it's because there is oversupply. Those farms which are well run (have planned ahead and can absorb a couple of lean years) will survive, the weaker ones won't. Do you think the farmers will return the favour when there's a milk shortage and prices are running well above production costs? Edited August 12, 2015 by unbeliever Link to comment Share on other sites More sharing options...
TJC1 Posted August 12, 2015 Author Share Posted August 12, 2015 http://www.theguardian.com/business/2015/aug/11/milk-price-row-key-questions Link to comment Share on other sites More sharing options...
unbeliever Posted August 12, 2015 Share Posted August 12, 2015 http://www.theguardian.com/business/2015/aug/11/milk-price-row-key-questions Do you think the farmers will return the favour when there's a milk shortage and prices are running well above production costs? Link to comment Share on other sites More sharing options...
TJC1 Posted August 12, 2015 Author Share Posted August 12, 2015 News on lamb priceshttp://www.bbc.co.uk/news/uk-wales-33804496 Link to comment Share on other sites More sharing options...
unbeliever Posted August 12, 2015 Share Posted August 12, 2015 News on lamb priceshttp://www.bbc.co.uk/news/uk-wales-33804496 Do you think the farmers will return the favour when there's a milk shortage and prices are running well above production costs? Link to comment Share on other sites More sharing options...
TJC1 Posted August 12, 2015 Author Share Posted August 12, 2015 Do you think the farmers will return the favour when there's a milk shortage and prices are running well above production costs? You seem to be missing the point. ---------- Post added 12-08-2015 at 11:04 ---------- What is the dispute about? British farmers are unhappy that the price they are paid for milk has fallen by 25% over the past year. They are blaming supermarkets for the slump, and specifically the price war that has been caused by the “big four” – Tesco, Asda, Sainsbury’s and Morrisons – losing sales to the discounters Aldi and Lidl. Asda and Morrisons have been targeted by protesters because they have failed to follow Tesco and Sainsbury’s in agreeing to pay a higher price for milk that is based on the cost of production. Link to comment Share on other sites More sharing options...
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