A move by Morrisons to increase the price it pays its dairy farmers supplying all of its own-brand fresh milk and ‘Milk for Farmers’ is another step by the retailer to support the sector, the NFU has said.

NFU dairy board chairman Rob Harrison said: “Today's announcement by Morrisons is good news and moved them up the table in the support they provide farmers. However, there are still a few retailers languishing behind on the support they provide to guarantee high quality British dairy products every day of the year.

“With only half our total milk volume going into? liquid milk we need to focus on adding value and supporting farmers producing milk for other dairy products. A real issue, as seen by the recent farmgate price drops from a number of cheddar producers, is cheese. We need to arrest the falling consumption of British cheese and we urge retailers and food service to do their bit in promoting this vital part of the sector in the run up to Christmas and into 2016.

NFU President Meurig Raymond said: “We welcome this latest move by Morrisons which recognises the need to increase the sustainable price back to farm, at this difficult time. The Morrisons ‘Milk for Farmers’ range allows consumers the choice of how to show support for the industry.

“We now need to ensure that farmers supplying milk for all dairy products are treated fairly during this difficult market situation.”