FrieslandCampina (RFC) warns member dairy farmers not to increase milk production too far in 2018. The dairy is afraid that milk production will exceed the available processing capacity and is sending a letter to members today, Monday 16 October. dairy farmers.
This message has been updated.
FrieslandCampina expects a production peak among its member dairy farmers in the first half of 2018. This is apparent from a survey conducted by RFC among its members. The survey, to which 4.000 member dairy farmers or 30% responded, shows that the member dairy farmers are ambitious.
About a third of the respondents indicated that they wanted to buy phosphate rights and increase milk production. This group of dairy farmers also expects that they will be able to obtain more phosphate space by using the Kringloopwijzer.
Chairman Frans Keurentjes: "The dairy farmers are insufficiently aware that a higher milk production leads to a higher fixed excretion standard. That also means extra phosphate production." This extra phosphate production must be converted into extra phosphate rights. According to Keurentjes, dairy farmers are insufficiently aware of this.
More market-oriented
RFC indicates that it wants to work in a more market-oriented way and is therefore now sending out the signal. Frans Keurentjes, chairman of FrieslandCampina: "With the letter, we want to respond to the introduction of the phosphate rights in 2018. If the dairy farmers start milking away from their homeland, there is a good chance that there will be an imbalance between supply and processing capacity."
If the imbalance becomes too great in 2018, RFC will consider a standstill. RFC will support dairy farmers with a phosphate planner. This tool should be ready in December. Keurentjes: "As a processor, we benefit from a stable milk supply. If this does not happen and we do get a peak in the first 6 months, we will have to take measures. This will be in the form of a standstill." This means that RFC still collects the milk, but gives a discount on the excess milk delivered.
Read the letter from FrieslandCampina here
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But first they let the farmers have their way in building bigger stables, they even enlarged the factories. Now come up with stories like this
