UK: Move to stabilise volatile milk market is pondered

The Press and Journal, Published: 28/05/2009

Regulation could be on the way to protect farmers from retailers buying farm produce at below the cost of production. Rural Affairs Cabinet Secretary Richard Lochhead last night gave his clearest hint yet that legislation may be introduced to govern relationships between farmers and retailers to ensure a fairer distribution of profits through the supply chain.

He left a "summit" in Edinburgh to discuss the financial crisis facing dairy farmers, saying Scottish food production had to be treasured and its future secured.

Mr Lochhead's commitment to food production came as Tory leader David Cameron backed an improved code of conduct and ombudsman to make trade between farmers and supermarkets fairer.

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