Dairy board chair of the National Farmers’ Union (NFU), Michael Oakes, has said that trade and regulatory policy is needed to support the UK dairy industry to “allow it to compete at a global level”.
Oakes said he cannot predict what the markets will do in 2023, as they are too volatile, but he does anticipate that, in the medium- to long-term, dairy demand around the world will keep growing.
The issue, Oakes said today (Friday, December 30), is that milk production will not keep up.
“This is why we have spent a considerable amount of time in 2022 pushing forward our dairy export strategy, with the ambition to double our dairy exports in the next 10 years,” he said.
“We know that British dairy farmers work hard to produce safe, sustainable and high-quality produce for both our domestic consumers and for emerging export markets around the world.
“Building exports takes time, but this work will continue into 2023, and we are pleased to have built a strong rapport with the Department for International Trade during the past year,” he added.
“This will help us work with the wider dairy industry to drive forward and grow dairy exports, while ensuring we do not undermine our domestic production.”
UK dairy sustainability
Oakes said the “sustainability challenge” is another agenda that will continue “at pace” in the New Year.
“The pressure from consumers and the supply chain on the dairy sector will continue to grow, and we have to rise to the challenge,” he said.
“Fortunately, the work of the industry-wide Dairy Roadmap helps to put us in a good position to respond to a lot of these questions, demonstrate best practice and prepare for the future.
“However, we also need to ensure the financial sustainability of the sector. 2023 should also see a key piece of work to improve dairy contracts move forward into legislation.
“To support this work, we are also focusing on farmer collaboration to improve relationships in the supply chain.”
Oakes said there would be “more challenges ahead” where sustainability was concerned, but that the NFU would work to ensure a positive future for dairy.
