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Project C

Original Poster:

665 posts

74 months

[news] 
Wednesday 11th July 2012 quote quote all
Is there any business where we expect/demand/are happy with the producer being forced to lose money on their product?

We all want to pay less for what we but but surely we cannot and should not expect someone to make a loss. Especially when its demanded by companies making millions in profits.

Amateurish

2,973 posts

91 months

[news] 
Wednesday 11th July 2012 quote quote all
Are they making a loss once subsidies are taken into account?

SirSamuelOfBuca

1,003 posts

26 months

[news] 
Wednesday 11th July 2012 quote quote all
I thought the price of milk has been screwed by tesco and other big boys for a while now?

Justayellowbadge

29,451 posts

111 months

[news] 
Wednesday 11th July 2012 quote quote all
I'm going to guess you work in agriculture?

Vieste

9,085 posts

29 months

[news] 
Wednesday 11th July 2012 quote quote all
Ernie is not happy about it.
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GTIR

19,078 posts

135 months

[news] 
Wednesday 11th July 2012 quote quote all
I've no idea how much a pint of milk costs.

I need it so I buy it.
If its £1 or £1.50 I'd still buy it so it's got nothing to do with "Giving you the consumer cheaper prices everyday". More like "Giving us the supermarket much more profit thanks very much and the supplier no alternative"

Lord Pikey

2,912 posts

84 months

[news] 
Wednesday 11th July 2012 quote quote all
On a simialr note. I have noticed that milk over here (germany) is under 50c for a liter. Is there a reason that its almost half what it cost in the uk besides the exchange rate.

I am wondering if the German government subsidise the price of milk as its a nessersary commodity to help the poor... Or Germany cows are just cheaper

Defcon5

4,056 posts

60 months

[news] 
Wednesday 11th July 2012 quote quote all
If you are losing money making something, then why would you continue to make it?


PeanutHead

7,548 posts

39 months

[news] 
Wednesday 11th July 2012 quote quote all
If thats the case then why don't all the suppliers refuse to sell to supermarkets so everyone has to go to a local farm shop or do without, i'm sure they could re-negotiate prices then.
Or did i just brain fart?

mat13

1,778 posts

50 months

[news] 
Wednesday 11th July 2012 quote quote all
Defcon5 said:
If you are losing money making something, then why would you continue to make it?
What else is a 50 year old dairy farmer going to do?

stevensdrs

456 posts

69 months

[news] 
Wednesday 11th July 2012 quote quote all
I can buy 4 litres of milk for £1.50. I can hardly buy a 1 litre of diesel for the same price. I would much prefer if I could buy the 4 litres of diesel for £1.50 and pay through the nose for the milk.

Stiglet80

4,628 posts

56 months

[news] 
Wednesday 11th July 2012 quote quote all
Defcon5 said:
If you are losing money making something, then why would you continue to make it?
To make money on other things. Company I work for go cheap and lose money on small things to get the work for the big things.

ie I can bring customer in to by milk so they also by my cheese which makes a large profit.

Doesn't work for every product/company but is plausible.

doogz

18,686 posts

56 months

[news] 
Wednesday 11th July 2012 quote quote all
mat13 said:
Defcon5 said:
If you are losing money making something, then why would you continue to make it?
What else is a 50 year old dairy farmer going to do?
Literally nothing, and he'd be better off, if the reports are accurate.

Odie

3,662 posts

51 months

[news] 
Wednesday 11th July 2012 quote quote all
I find milk is cheaper at cash and carry's, so that tells me that the multiples are price gouging. They have the buying power to make demands of the suppliers, but are then making a nice profit.

Retail is in a mess, alot of lines make more profit for the shops than it does for the manufacturer.. Really sticks in my throat that.

1point7bar

1,091 posts

17 months

[news] 
Wednesday 11th July 2012 quote quote all
Prices (pence) to be paid from August for 1 litre of milk (1.7pints) by the processors:

Robert Wiseman Co-op 25.77
Dairy Crest Sainsbury 28.47
Arla Asda 26.18

These are the supermarket aligned contract prices.

mat13

1,778 posts

50 months

[news] 
Wednesday 11th July 2012 quote quote all
doogz said:
mat13 said:
Defcon5 said:
If you are losing money making something, then why would you continue to make it?
What else is a 50 year old dairy farmer going to do?
Literally nothing, and he'd be better off, if the reports are accurate.
Youve never met a farmer then, generally when they give up working they die, its all a lot of them know, i can name 4 or 5 pure dairy farmers who have never had a day odd fince they started, and at least two that have never been out of derbyshire.

rudecherub

1,835 posts

35 months

[news] 
Wednesday 11th July 2012 quote quote all
They're cows. You can't turn them off, they eat and they need milking. You've got to do that, once done you can sell small loss or pour the milk away, more loss.

Most farmers are emotionally attached / invested in their animals, which will represent generations of selective breeding, so selling them isn't easy.

But the rules mean we have to import milk thanks to CAP.

Just another reason to leave the EU pronto.

XDA

1,830 posts

54 months

[news] 
Wednesday 11th July 2012 quote quote all
Amateurish said:
Are they making a loss once subsidies are taken into account?
Yes.

The average subsidy is about £32,000

Defcon5 said:
If you are losing money making something, then why would you continue to make it?
What other option do you have? Cows will continue to produce milk regardless as there isn't a tap you can switch off... wink

What else are you supposed to do with 500 diary cows?

It's a joke tbh. The average cost to the farmer for producing a litre of milk is about 29p. Every single litre is sold at a loss.

doogz

18,686 posts

56 months

[news] 
Wednesday 11th July 2012 quote quote all
mat13 said:
Youve never met a farmer then, generally when they give up working they die, its all a lot of them know, i can name 4 or 5 pure dairy farmers who have never had a day odd fince they started, and at least two that have never been out of derbyshire.
I've never met a farmer? I live on a farm.

Good guess though.

The farmer down the road has recently given up on milk cows, is keeping some for beef, and has just bought a load of sheep. Sheep are a feckin nuisance though, stupid animals.

missdiane

13,940 posts

118 months

[news] 
Wednesday 11th July 2012 quote quote all
Someone on the local radio this morning was complaining that they couldn't afford milk since they got made redundant and they just had black tea/coffee
Really?? Wonder what they eat for dinner...
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