Sainsbury’s is setting a new price paid to British dairy farmers through the sustainable Cost of Production (COP) model. From 1st January, the standard price will rise to 31.59ppl.
Previously set at 30.66ppl, the price is paid through a model which is designed to reward Sainsbury's Dairy Development Group (SDDG) farmers for outstanding animal welfare and environmental standards while being sustainable for the whole supply chain. One of the unique elements of the COP is the quarterly review of the key input costs – feed, fuel and fertiliser. This will ensure that the most volatile elements of costs will be reviewed every quarter and the COP milk price changes to reflect these varying costs, in turn ensuring a fair deal for the farmers involved.
Notes to editors
- The COP model is implemented across farmers that supply by Sainsbury's fresh milk.
- Farmers in the SDDG across Wales, England and Scotland benefit from the COP model.
- As part of Sainsbury's 20x20 Sustainability Plan, by 2020 Sainsbury's will source all key raw materials and commodities sustainably to an independent standard. The plan also includes doubling sales of British food and being number 1 for animal welfare.
- Last month Sainsbury’s allocated £1.2million investment in the future of British farming through 14 R&D grants.
- Sainsbury's has supported British farming for 140 years and we continue to work collaboratively for the best solutions on price, animal welfare and carbon efficiencies. This year marks the 5th anniversary of Sainsbury's Dairy Development Group. Sainsbury's now has 10 agricultural Development Groups including Pork, Lamb, Cheese, Wheat and Veal.