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Western dairy farmers challenged to choose a single processor
11 Jul 2005
Dairy farmers in Western Australia are under pressure by the two major processors to make a choice. Challenge Co-operative is giving its suppliers an ultimatum, with a choice of providing all milk to Challenge to receive a higher price, or splitting the milk between National Foods to receive a lower price. The Dairy Industry Working said Challenge was trying to poach suppliers from National Foods. The state’s milk supply is insufficient to meet the demand from the two processors. Challenge is offering its 100pc suppliers an increase of two cents a litre. Suppliers that decline to sell all of their milk to Challenge will receive a one cent a litre less for their milk.
Farm Weekly, 11/07/05
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