Sir, – Following your recent report on the important initiative held at Claridge’s in London, where The Wensleydale Creamery promoted its range of cheeses and highlighted the contribution that the business makes to the rural economy to leading retail representatives, I would like to share further industry developments with you.

The dairy industry has experienced what can only be described as a roller coaster of a ride during the last 18 months regarding world prices for dairy commodities.

These increased at a rate which I had not encountered in more than a quarter of a century working in the dairy farming and cheese-making sector.

During this period, milk prices in the UK soared by 40 per cent per litre. But world dairy commodity prices have now peaked and are on the way down and multiple retailers, some of whom absorbed the cost increases, are now looking for real price cuts to restore their margins.

As a consequence of this financial squeeze, The Wensleydale Creamery is having to make reductions in the price it pays for milk from local farms.

The decision has been taken to ensure that a solid business foundation is maintained as well as the balance between farmer, producer and retailer.

The Wensleydale Creamery is determined to continue to support local family farms and the rural economy – out of an annual turnover of nearly £18m, it has put nearly £12m back into the local economy through the form of milk payments, wages and purchases.

The creamery is proud to be a custodian of the Yorkshire Dales countryside and heritage. We will carry on developing strong business partnerships, which are so vital to the local economy, and will be making future announcements about how we are forging relationships with more local farms.

DAVID HARTLEY Managing Director, The Wensleydale Creamery, Hawes.