The poor market place is said to be the reason why Suffolk-based Frederick Hiam Ltd, who farm Corston Farm, Hundleton, and Lower Broadmoor Farm, Talbenny, is closing both farms and exiting dairy farming all together.
A spokesman for the company said: “Over the years the herds have performed very well producing high milk yields at competitive cost - but the downturn in farmgate prices over the past two years, coupled with a depressing medium to long-term outlook for dairy farming, has forced the business to look very carefully at the prospects for the sector.”
Company chairman, Christopher Wilson said his family had been farming in eastern England for four generations, well over 100 years, and for two generations in Wales.
“It is sad that we are leaving Wales but we cannot ignore the market place. Despite our best efforts we have reluctantly concluded that we cannot continue under these circumstances,” he added.
The directors and shareholders had not taken the decision lightly.
The dispersal of the commercial Holstein Friesians will begin on Wednesday, June 15 at Carmarthen Livestock Mart and continue over the following weeks.
The farms will go on the market immediately after the clearance of the live and dead stock.
Farmers Union of Wales deputy president, Brian Thomas, who farms in Pembrokeshire, said they were well-run farms but it highlighted the economic climate in farming and why the company had taken its decision.
“The agricultural industry is finding it difficult to compete on the world market due to volatile prices,” he added.