A DAIRY farmer says he is facing financial ruin because of plans to cut the price farmers are paid for milk.

Michael Coe, of Bridge Farm, in Station Road, Tolleshunt D’Arcy, said the new low price he would be paid meant his small, family-run dairy farm would go under.

Major milk processors want to cut the price they pay farmers next month, bringing it down to just 25p per litre – 4p a litre less than it costs to produce.

Mr Coe’s family has farmed at Bridge Farm for more than 55 years. He said: “Business is terrible already. We are almost living from hand to mouth – barely covering costs.

“There’s no money for reinvestment. Some of the buildings are falling down and we can’t afford to do anything about it. For the past 12 to 15 years, it’s been very dark.

“I don’t know how much longer we can go on like this.”

Mr Coe runs the farm with his wife and says he takes just £10,000 a year out of the business in wages.

He added: “Dairy farming used to be a nice way of life, but it’s certainly not any more.”

He also criticised the supermarkets for their attitude to the milk market.

Mr Coe said he did not join local protests against the cuts because he simply could not afford the time away from his farm, or to travel to a demo.

The National Farmers’ Union and the Country Land and Business Association have both demanded a rethink on the planned price cut.

Association president Harry Cotterell said: “The planned price cut on milk will force some farmers out of business. “They deserve better.”