Dairy cooperative First Milk has agreed a new long-term contract with Nestlé UK & Ireland to supply milk for its products.
The agreement extends a relationship between the two companies that stretches back as far as 2003, and which focuses on building a long-term, sustainable supply chain for Nestlé’s confectionery and beverage businesses.
First Milk CEO Mike Gallacher said: “Nestlé are a hugely important customer for First Milk and I am delighted to see this relationship renewed for the long term. Nestlé have consistently supported British dairy farmers and are at the forefront of driving best practice on responsible sourcing and sustainability. Initiatives like our Next Generation young farmer programme demonstrate a long term and strategic commitment to the UK supply chain.”
And Robin Sundaram, responsible sourcing lead – milk buyer for Nestlé UK & Ireland, added: “We are delighted to renew our commitment to First Milk and to our Nestlé farmers. Good quality milk is a key ingredient in some of our iconic brands such as Nescafé and KitKat. We look forward to continuing our strategic long-term partnership to drive our vision of supporting our farmers and our environment.”
The announcement follows a recent update on First Milk’s progress towards a new strategy of focusing on its core business of liquid milk contract supply and cheddar manufacturing. The changes have led to a £30 million improvement in profitability over the last two years, allowing it to increase its milk price to its members.
As well as its contract supply business, First Milk turns its farmers’ milk into the Lake District Dairy Co, Mull of Kintyre and Isle of Arran brands of cheddar cheese.
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