DAIRY farmers were being creamed on the price paid for their milk claimed Anthony Gibson, NFU director for Gloucestershire.

He warned that if the trend continued it would destroy the dairy industry and decimate jobs in the farm supply and milk processing sectors.

Although all the economic factors indicated that dairy farmers in Gloucestershire, one of the most prolific milk producing counties in the country, should be receiving amongst the highest prices in Europe, in fact they were at the bottom of the price league table.

Mr Gibson said: "The proportion of the end price reaching the farmer has fallen from nearly 60 per cent to under 40 per cent in 10 years, in sharp contrast to the ever-increasing margin being milked by the supermarkets. This cannot continue because, if it does, it is no exaggeration to say that it will destroy the dairy industry and, from next year, if farmers can't milk profitably they will be better off not producing at all."