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Nicholson warns that power of the supermarkets must be tackled head on

Speaking in a debate in the European Parliament this morning on the crisis facing the dairy sector, Conservative and Unionist MEP Jim Nicholson has warned that until the power of the supermarkets in the supply chain is finally tackled, there will be no long term answers to the problems facing dairy farmers.

During the course of his remarks Mr Nicholson said,

"I really feel very strongly that the Commission were very late acting on this particular problem. They did sit on their hands for too long and many farmers have suffered because of that. We can decide to either help the industry or we let our farmers go out of business and import our products from aboard with all the problems that brings.

"I am happy with the Commissioner's remarks for the future but I am not happy with the remarks for the short term. We need to do more in the short term to help the industry through the present crisis and these short term measures require immediate action.

"I do not want to go back to the milk lakes and the Butter Mountains and I am sure no - one in the industry wants to go back to that situation.

"One of the main problems at the present moment is that while the farmers have taken a drastic reduction in what they are receiving for their milk, the consumer is paying almost the same as they paid before. Until we tackle the power of the supermarkets in this area we will not have the answer. They have got to be controlled. We need a supermarket ombudsman. Someone who can tell the supermarkets they are acting beyond their remit, ripping the farmers off and ripping consumers off too whilst putting farmers out of business in the process."

Mr Nicholson added,

"I cannot stress how important it is that both Europe and the Member States tackle head on the power of the supermarkets in the supply chain. The entire future of the European dairy industry is at risk if we expect farmers to continue producing milk at a loss."