TUCO introduces pioneering price agreement for UK Dairy FarmersWritten by Shamari Steele
TUCO (The University Caterers’ Organisation) has become the first procurement network to guarantee a fixed minimum payment to UK farmers for their milk.
The fairly-traded pricing structure assures farmers a minimum price of 30p per litre for standard milk across the life of a contract. The agreement guarantees that a sustainable living wage is paid to farmers and also reflects the investments that producers make in land, livestock and equipment. This helps to protect and future-proof the UK Dairy Industry, which is facing uncertain times and price cuts across the board.
The scheme, based on research carried out among UK dairy farmers and market data, has been developed as part of TUCO’s new milk and bread framework agreement. By making use of this agreement, TUCO members will have full traceability within the supply chain and also have peace of mind that farmers are being paid a fair price for the milk they purchase and are not being placed at a disadvantage in the marketplace.
“Sustainability remains an issue of utmost importance to our members and the wider catering community,” said Mike Haslin, CEO at TUCO. “By introducing agreements such as this and other schemes, including unrivalled local sourcing frameworks, we are helping our members to put sustainability at the core of their catering operations. British farming is integral to the economy and its products essential for good nutrition - fair trading is at the core of its survival.”