Milk is sold either through contract or cooperatives. The ratio of cooperatives in total milk production is different in the individual member countries of the EU because of differing systems of agriculture. The ratio of cooperatives is the lowest in Spain and Greece (18 and 20 percent), and is the highest, in Denmark, Ireland, Finland, Sweden and the United Kingdom (96-100 percent). Within the UK, milk and dairy products are mainly distributed through cooperatives.
The milk production scenario in the UK is not just limited to distribution factors but also to its production which seem to determine the general outlook of the milk sector4. The milk sector in UK is a large one and there are around 12 million cattle in the UK mainly reared for beef or milk production. Department of Environment, Food and Rural Affairs or Defra is responsible for UK milk production and marketing policy. Defra has the responsibility for sponsorship of the dairy industry in the UK and helps to sustain the industry. The Common Agricultural Policy5 and milk quotas and UK policy on dairy are controlled and implemented by the Defra. Defra thus upholds global Milk and dairy policies and also represents UK interests at the EU Management Committee for Milk and Milk Products6.
The pre-1984 scenario in the dairy sector showed higher production quantities and as there were no quota constra ...Show more