Blow to Muller as its first producer resigns after 27 years of supplying
Posted on: 02/12/21
The Foster partnership at Langside Farm were Robert Wisemans very first suppliers more than 27 years ago when their milk started to flow into Wisemans Bellshill Dairy.
In addition, partner Stephen Foster is one of the so called seven wise men & women who sit on the Muller Milk Group Board representing around 1450 GB dairy farmers.
The partnership has served 3-month notice to leave Muller and their resignation letter has gone public and almost viral .
It is direct in its reasoning “the acquisition of Robert Wisemen Dairies by Muller that the business model of Muller in the UK is a failure for those suppliers on a direct contract”
It is understood the Fosters will cease supplying Muller on 28th February 2022 and given their geographical location and the smart money will be on Yew Tree Dairies (AKA Woodcocks) collecting the farms milk from February 1st.
It’s a huge decision by the Foster family who it is claimed have simply had enough and that their decision has been helped by their working knowledge of the MMG board and how the firm now operate.
Several milk purchasers are claiming they have signed MMG farmers to the point claims by one are that they must be quietly but rather quickly haemorrhaging producers. Add to this the disappointing below par 1st January standard litre price of only 32ppl and little wonder there are some who are claiming Muller have three GB operation options
- Let MMG farmers go and/or serve notice on more who do not geographically fit and shrink the business .
- Muller Exit the UK liquid market assuming a buyer can be found.
- Build more UK capacity outside of liquid and yoghurt.
Option 1 on this list appears to be the current favourite with the status quo simply not an option.