Medina to stand on until 1st November

This is still to be officially confirmed but when it is, producers liquid standard litre price will be maintained at 25.75ppl. 

Meanwhile Medinas supply group of 19 farmers formally known as Meadow Milk and their lawyers claim they are waiting for Medina to put forward a proposal which is meaty enough to persuade them not to leave at the end of next month/ September 30th.

Meadow farmers supply in the region of 40% (circa 35 million litres) of the milk going into Watsons (Medinas) factory, which you may recall is due to be closed. For the past three months or so Meadow have had lawyers acting for them with significant financial support and additional legal expertise provided by the NFU and NFU legal.

The Legal advice received, which Medina contest, relates to the clause in the Meadow Milk contract that their farmgate milk price must not drop more than 2ppl below the average of a basket of prices including Mueller Direct, Freshways and Meadow Foods. On the basis Meadow claim the spring price dropped by more than 2ppl they have been advised they are free to leave after 3 months’ notice.

So, from October 1st, having served 3 months notice, the farmers believe, in the absence of an agreement with Medina, they are free to sell to another milk purchaser and several are showing keen interest particularly as milk supply is showing signs of tightening up/declining. Watch this space.

Note the Meadow Group has no connection whatsoever with Meadow Foods from Chester.