Demand for British cheese is increasing globally but farming chiefs have urged processors and retailers to ensure higher prices are filtered through the supply chain.
It follows calls from Farmers For Action (FFA) and the Tenant Farmers Association (TFA) yesterday calling for profits from the higher prices in milk powder and fat to be passed down to farmers.
Imports of Cheddar have dropped 39 per cent, with UK cheese exports up six per cent.
Dairy chiefs have said that while this was a positive sign for the industry, the next step must be for the value of cheese to increase throughout the supply chain.
At the International Cheese Show in Cheshire the national NFU dairy board chairman, Michael Oakes said: “The great news is more people than ever before are eating British cheese.”
“We have seen dairy commodity prices strengthening in recent weeks. The next step must be for the value of cheese to increase through the supply chain and for a fair share of that money to be passed back to the farm.”
Mr Oakes said while instore promotions were good for the shopper they could potentially squeeze producers even further.
He added: “The aim of these promotions is to sell more volume rather than diminish value. My question is who is paying for such promotions?”