The head of the UK's biggest dairy has warned that milk prices need to rise to cover a huge surge in costs for farmers. Arla Foods managing director Ash Amirahmadi said there could be supply issues unless farmers get better returns.
Arla has 2,100 dairy farmers in the UK and 8,950 across Europe. But Mr Amirahmadi said they can no longer cover their expenses because costs are increasing at rates never seen before.
Dairy farmers have faced rising fuel, fertiliser and feed costs. They are also paying more for labour and machinery.