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> We could all see this coming . . ., Dairy Farmers

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StarandMoon
post 19/01/2013, 11:52 AM
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If anyone needs more motivation not to buy cheap supermarket milk:

http://www.couriermail.com.au/news/queensl...f-1226557039013

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Lainskii
post 19/01/2013, 12:04 PM
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Even though Woolworths milk has become 'permeate' free, I still buy Dairy Farmers or Pauls because the woolworths just doesn't taste the same, it is really watery. When we froth it in the coffee machine it is just crap.

I actually wrote a complaint (via email) to Woolworths as they weren't stocking the full fat Dairy Farmers, only Lite White and Smart Milk. They wrote back and said that they'd start stocking it (and they now do). Surprisingly it sells out really quick so I think I'm going to write back and ask them to stock more.

I agree with the article and as long as everyone keeps buying the $2 milk we will eventually have the choice of really really expensive fresh milk (because there will hardly be any dairy farmers left) or we'll be drinking cheap imported milk or UHT. It is a sad state of affairs and just one of the many things Coles and Wooloworths are doing to ruin Australian production. I'm sure they'll convince everyone via advertising why imported milk is better for you anyway and as long as it stays $2, most ignorant people will just keep buying it.


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GlitterFarts
post 19/01/2013, 12:04 PM
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Yep - I saw this happening from the getgo!! Wonder if any of those supporters are willing to come in here and say that they are STILL only going to buy $1 milk.........
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Jane01
post 19/01/2013, 12:05 PM
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Didn't the supermarkets increase the prices they paid for milk before they reduced milk to $1/l?

https://www.coles.com.au/Portals/0/content/...20v2%202011.pdf

So does this sad state of affairs reflect:
1. an inefficient industry that needs to consolidate to survive?
2. the fault of the milk processors?
3. 50% of Australian milk is exported. Lower prices may be a consequence of a rising $AU, not supermarket price wars. If an $AU was previously worth 6 Chinese Yuan and now it is worth 9 Chinese Yuan, and the contract for milk supply is written in Chinese Yuan, the Australian company selling the milk is getting a third less in Australian dollar terms, but the Chinese company is paying the same amount. Even if the contract has been renewed recently, prices aren't so elastic that you can just increase by a third and expect the same demand for your product. All Australian export companies are facing the same problems.
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flakyfish
post 19/01/2013, 12:08 PM
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Wow, that's massively worrying.

I used to occasionally buy the cheap milk, but after i read a thread on here a few months back, i switched to buying only name brand milk.

I also switched to buying Aussie-owned dairy products wherever possible, so switched to devondale cheese and butter instead of western star and mainland, liddels lactose free milk instead of Aldi, etc.

Sadly, neither coles nor woolies in my area sell fresh aussie owned milk, so we buy Dairy Farmers and A2 milk.
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Lil Chickens
post 19/01/2013, 12:17 PM
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We are dairy farmers and all our cows are going. We will probably earn less with sheep and crops BUT my husband will also work a LOT less. His wage per hour worked will increase and he will get to see his kids.

To survive we cannot afford to employ anyone to help out so he does it all 7 days a week, with a little help from his dad for other jobs around the farm.

His Dad is 70 in July and helping less and less (understandably) and he just can't see a way forward where he can continue to milk as many cow as we need to cover costs and physically cope.

Instead we will change to sheep and crop and I will return to work extra days so he can spend more time with his kids and not work himself into an early grave.
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Sif
post 19/01/2013, 12:19 PM
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It's not a choice for everyone. For us the difference is either $18 a fortnight, or $45 a fortnight - in our house that is a huge amount of money... We have to buy the cheapest of everything because otherwise we can't keep our fortnight shopping for a family of six to between $3-350 (including everything)...
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StarandMoon
post 19/01/2013, 12:26 PM
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QUOTE (Sif @ 19/01/2013, 12:19 PM) *
It's not a choice for everyone. For us the difference is either $18 a fortnight, or $45 a fortnight - in our house that is a huge amount of money... We have to buy the cheapest of everything because otherwise we can't keep our fortnight shopping for a family of six to between $3-350 (including everything)...


Sif, nobody's asking you to send your family bankrupt, just be aware that these milk prices are having serious longterm effects on dairy families.

This post has been edited by StarandMoon: 19/01/2013, 12:27 PM
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MrsLexiK
post 19/01/2013, 12:29 PM
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QUOTE (Jane01 @ 19/01/2013, 01:05 PM) *
Didn't the supermarkets increase the prices they paid for milk before they reduced milk to $1/l?

https://www.coles.com.au/Portals/0/content/...20v2%202011.pdf

So does this sad state of affairs reflect:
1. an inefficient industry that needs to consolidate to survive?
2. the fault of the milk processors?
3. 50% of Australian milk is exported. Lower prices may be a consequence of a rising $AU, not supermarket price wars. If an $AU was previously worth 6 Chinese Yuan and now it is worth 9 Chinese Yuan, and the contract for milk supply is written in Chinese Yuan, the Australian company selling the milk is getting a third less in Australian dollar terms, but the Chinese company is paying the same amount. Even if the contract has been renewed recently, prices aren't so elastic that you can just increase by a third and expect the same demand for your product. All Australian export companies are facing the same problems.


This was my understanding as well. We I do tend to buy cheap milk but I tend to buy the UHT stuff because some weeks we may go through 3liters some none so if I buy 2 and keep them in the fridge I can't taste the difference when we need it.
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Lyra
post 19/01/2013, 12:32 PM
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It's one of the reasons we switched to Aussie Farmers direct.

Sif, I can see your point but if they run the dairy industry into the ground then there will be no choice for any of us. Could you do half and half? ie half the cheap stuff and half the brand stuff? Or buy a bottle of the brand stuff when it is on special? Keep your support going that way
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