Suppliers were told the news late last Friday that their price for August 1 was being reduced.
NFU dairy board vice chairman Michael Oakes said: “Two years ago First Milk signed up to the Voluntary Code of Conduct on contracts in which they agreed to give at least 30 days’ notice of a price cut. In June they announced that they would no longer be giving this notice – but announcing a price cut the evening before it comes into force is totally unacceptable.
“What we need now, in such a period of market uncertainty, is trust, transparency and good communication from milk buyers to farmers – this is what the Voluntary Code was trying to achieve. We understand the difficulties facing First Milk and other milk buyers, but our dairy farmers deserve and expect support and honesty during this market downturn, so I would urge all milk buyers to increase communication with their suppliers.”
The NFU will continue its dialogue with First Milk to seek clarity on their long term plan announced in May.