Dairy farmers at risk after milk prices cut Farmers have complained that their businesses are becoming unsustainable. We have nobody to turn to. These processors could do something if they wanted to in order to create a level playing field. But the farmers don't have a voice," said one dairy farmer, who asked not to be named for fear of recrimination from the middlemen. All our costs are going up and we are losing money. We don't want to be greedy. All we want is a fair price," the farmer added. Mansel Raymond, the National Farmers Union's dairy board chairman, criticised the processors for their "atrocious behavior" and said that the price cut will cost farmers £20,000 a year. Ian Potter, an agricultural expert, said: "The bottom line is that farmers all over the world and producing too much milk. There is 20 per cent extra at the moment and it is having devastating consequences. Jim Paice, the Food Minister, said that the Government is not able to interfere in the price that farmers are paid and "nor should we be." But he said: "I have said several times that this underlines the need for a robust code of practice between diary processors and dairy producers. I laid this challenge before the industry nearly a year ago. They are getting closer to developing it. It needs to cover not just the price but notice of price cuts. I think what has really upset farmers is that they were given in the case of one company a few days notice of a price cut. There are 10,724 dairy producers in England & Wales - a fall of 172 the in past 12 year. The NFU's Mr Raymond said that the cuts "expose the fundamental problems" in milk contracts between farmers and processors. "As long as milk processors can get away with this atrocious behaviour, it seems they will do so," he said. Mr Raymond said: "These buyers claim to be building long-term relationships with suppliers and customers and demand specific standards to match. Yet when an opportunity to cut farmers" milk prices presents itself, it seems this all means nothing." He added that dairy farming is a long term exercise that requires investment and skill. It is therefore catastrophic that short termism further up the supply chain has led to cuts which mean a typical farmer will lose out on around £20,000 per year. Farmers need and deserve contracts where their basic terms are clear, specifically on price. The status quo where buyers can change the deal and cut prices without consequence is fundamentally wrong and must change," said Mr Raymond. Around one in 14 dairy farmers plans to leave the market in the next two years, recent research has found. A spokesman for Milk Link, a diary processor that will cut its prices to farmers by 1.5 per cent per litre on June 1, said that it had reluctantly cut prices and was reacting to changes in the milk market. "As a farmer-owned co-operative we are trying to support our members," the spokesman said. When Robert Wiseman Dairies announced the price cut it blamed the "challenging market environment" and the collapse in the value of bulk cream. The NFU has this week launched a campaign to boost awareness among the UK public about farming's contribution to the economy.