Ian potter associates 18th October 2013 Specialist Agricultural Quota & Entitlement Brokers

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IAN POTTER ASSOCIATES                  18th October 2013

Specialist Agricultural Quota & Entitlement Brokers

Telephone 01335 324594 Fax 01335 324584

Website www.ipaquotas.co.uk Email sales@ipaquotas.co.uk                                                                      Issue No. 744



Last Week


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Producers in E & W






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Milk Quota Available

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Should you require any information or prices on available milk quota, please contact Jacquey@ipaquotas.co.uk
First Milk ASDA cheese business reverts to Arla Milk Link

It has been one of the worst kept secrets in the industry  but First Milk have today announced that ASDA’s cheese business will be lost to Arla Milk Link from April 2014.

The ASDA business accounts for towards 300 million litres of milk and 61% of the output of First Milk’s Maelor cheese packing facility.
As a result First Milk has commenced employee consultation with 231 Maelor staff having declared that the packing plant will close at the end of May 2014.
The ASDA contract switch has been known for some months, however, one of the sticking points and delays to the announcement appears to be the fact Arla’s Oswestry cheese packing plant, which will be used to pack ASDA’s cheese, is only 12 miles from Maelor and First Milk are claiming TUPE regulations apply to the deal.

In a statement, First Milk are quoted as saying “In terms of our creameries in Wales, England and Scotland, it is business as usual”. That may be the case but the reality is both First Milk’s Aspatria and Haverfordwest  plants will already have reduced cheese production as the milk, which was destined to be made into cheese for ASDA, is diverted to other profitable outlets. Arla Milk Link have been laying down cheese in preparation for the April change over since July.

Two farmers were keen to alert Ian to the fact that the chairman designate of First Milk, Sir Jim Paice, was the guest speaker at Tuesday evenings Welsh Dairy Show dinner. Jim specifically declined to talk about the co-op during his speech stating that he couldn’t because he was not yet the chairman. However, three weeks earlier he was keen to outline where he believed First Milk was heading when he spoke to the press.
United Dairy Farmers co-op in Northern Ireland secure European Lidl cheese contract

United Dairy Farmer’s subsidiary Dale Farm, who have plants in GB as well as Northern Ireland, have announced they have been awarded a major contract to supply all Lidl’s own label cheddar across its 1,800 retail stores in 10 European countries as well as 750 Lidl stores in the UK and Ireland.

Going forward the contract will cover cheese in the UK, Ireland, Cyprus, Italy, Poland, Malta, Greece, Germany, Finland, Portugal and Spain. That’s what you call an export deal and will be great news for the co-op’s 1600 farmer members.
David Dobbin, Dale Farm Group Chief Executive said, “Over the last 3 years, we have invested over £40 million in developing world-class manufacturing facilities.  As a result, our cheese manufacturing capacity at our Dunmanbridge site in Cookstown has doubled to over 50,000 tonnes per year.  We now have best in class cheese making and packing capability and the economies of scale needed to successfully compete internationally; winning this Lidl business is confirmation of the progress we are making.”

Major fire at Muller Wiseman Dairies (MWD)

At around 10pm on Monday evening 10 fire engines, 60 fire-fighters plus ambulance crews were called to a very large fire at MWD milk processing plant at Droitwich, which is believed to have started due to an electrical fault.  According to some reports explosions could be heard and thankfully the only injured employee, out of a total staff of 750, was treated for minor head injuries at the scene and allowed to go home.

Processing has been diverted to other MWD dairies along with temporary packing agreements with our other processors whilst the task of bringing the dairy back into use commences. Given the scale of the damage it could be some time before normal service resumes.
Ronald Kerrs commented “We are delighted with the support we have received from our customers and colleagues throughout the company and with the assistance we are receiving from other dairy companies in Britain.”
IDB set for major British cheese deal

This is this week’s news headline in the Irish Farmers Journal (19.10.13) where the magazine has run a story suggesting a strategic partnership between First Milk and the Irish Dairy Board, which would boost packaging at the IDB’s (Adams) Leek cheese packing plant as well as “boost their negotiating strength with retailers.”

First Milk have spoken to Ian this afternoon stating they have no such announcement to make at this stage.

2 x litres of Tomlinsons milk being sold for 89p in Stan’s Shop, St Martins, Shropshire

VS England vs Chile

International Match - Friday, 15/11/2013 - Kick off: 20:00 at Wembley Stadium

VS England vs Germany

International Match - Tuesday, 19/11/2013 - Kick off: 20:00 at Wembley Stadium

Up to 5 tickets available for each match at a discounted price, if interested, email Lydia@ipaquotas.co.uk as soon as possible. Note, the tickets could be split but the maximum is 5. Access to these tickets is ahead of any public sale so you get the pick of where you sit and at a discount.

All views expressed in this bulletin are those of Ian Potter Associates and a shed load of dairy farmers. It is necessarily short and cannot deal with the various issues that arise in any detail. As a result it must not be relied on as giving sufficient advice in any specific case. Every effort has been made to ensure the accuracy of the content but neither Ian Potter Associates nor Ian Potter personally can accept liability for any errors or omissions. Professional advice must always be taken before any decision is reached

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