MMG approved as producer organisation for 1,200 dairy farms
MMG Dairy Farmers, which represents roughly 1,200 dairy producers supplying Muller, has been formally recognised as a dairy producer organisation (DPO).
MMG had historically been jointly funded by Muller and its dairy producers, however the decision was made in March this year for the group to become totally independent of Muller.
A board was elected by its farmer members and a forum of 16 farms elected to represent each of the different milk pools with retailers.
See also: Muller approved by CMA to acquire Yew Tree Dairy
An application was then submitted to the Rural Payments Agency (RPA) this summer to change its status to a DPO so that it could represent its members better through the Fair Dealing Obligations (Milk) Regulations 2024.
This application has now been ratified by the RPA and the new status as a DPO will allow the group to be recognised as the “de-facto negotiating body” for Muller producers.
Grant Hartman, chair of MMG Dairy Farmers told Farmers Weekly that the group had the backing of Defra and had already met with the new industry adjudicator on behalf of its members.
He added: “It’s part of the Muller contract that you are a member of MMG because Muller want one professional organisation to negotiate and discuss things through.
“Becoming a DPO reinforces our working relationship with Muller, and ensures we are being governed in a professional manner.
“As a board, we are excited by this step and look forward to representing our members as the UK’s largest dairy producer organisation.”
Richard Collins, head of agriculture at Muller, said: “We are working in partnership with our suppliers, the great British dairy farmers.
“We’re proud of our strong working relationship with the MMG and were delighted to support them with their DPO application.”
Yew Tree Dairy
The acquisition of Yew Tree Dairy by Muller was approved by the Competition and Markets Authority (CMA) in October.
Mr Hartman said MMG had already been contacted by a number of Yew Tree farmers and were holding joint meetings through Muller across England and Scotland next week.
The intention is that when the 450 Yew Tree farmers get issued with Muller contracts, they will also become part of MMG Dairy Farmers.