News Corona crisis
'Dairy farmers are missing out on millions in turnover'
According to a study by Agractie Nederland, the corona measures are causing a significant loss of turnover in the Dutch dairy sector. In their own words, this loss has now risen to more than €64 million.
Agractie comes out, based on the milk prices Boerenbusiness trend reports, with a calculation in which they indicate that Dutch dairy farming has already lost more than €64 million in turnover due to the corona measures. The calculation is based on a comparison with last year's prices.
According to the representative's calculation, the loss of income in April amounts to €18 million and increases by another €42 million in May. Per individual company, this amounts to an average of €2675 for the 2 months, according to Agractie.
Compensation
In the calculation, Agractie takes into account a cost price of €40 per 100 kilos of milk and a milk price of €33 per 100 kilos of milk and declining. For many dairy farmers, this crisis could mean the death blow, as they have been producing at cost price for years. That is why the representative advocates compensation for the dairy farmers.
The organization indicates that it will share the results of the research with the Ministry of Agriculture, Nature and Food Safety (LNV) with an urgent request for compensation. In addition, Agractie also believes that Dutch retail should make socially responsible choices in the price of Dutch dairy. They use our eastern neighbors as an example. Aldi Germany took substantial steps to generate a realistic price for dairy farmers by raising the price of (consumer) milk by 10%.
Expectation
In addition to the current problems, Agractie is also looking at the continuation in the coming months. The milk price is expected to fall further and the price for fasting calves and broiler cows has also fallen sharply. The measures regarding the deferral of interest and repayment of loans and early payment rights, according to the organization, only shift the problem.
Jorine Cosse
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