French milk producers and the processing industry have reached an agreement on price decreases following government mediation.
The past few weeks have seen dairies blocked in several regions of France by producers protesting at the scale of the cuts.
Under the terms of the agreement, a price decrease of €6.5/1,000 litres (US$8.0) has been set for September rising to €8.8/1,000 litres in October, November and December, France’s milk industry trade body, Onilait, indicated.
Since July the decreases had ranged from €8-13/1,000 litres despite an agreement reached in May which set the scale of the cuts at €7/1,000 litres.

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By GlobalData