‘Something needs to change’: Woolworths drops $1-a-litre milk

 In Australia, Woolworths

Woolworths will stop selling $1-a-litre milk at its supermarkets, in a move it says will help restore Australian dairy farmers’ commercial viability.
Coles cut its home brand milk to $1-a-litre milk in 2011 in the opening shot of a fierce price war and Woolworths quickly followed suit as the two supermarkets battled for market share.
The cheap home brand products have proved controversial, and has been blamed by some in the dairy industry for cutting farm-gate prices and farmers’ profitability.
Woolworths said on Monday it would cease selling $1-a-litre milk from Tuesday, with two- and three-litre bottles of home-brand milk rising by 10 per cent to $2.20 and $3.30 respectively. Sydney Morning Herald – Read more…

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