PRICE wars in supermarkets could undermine farming businesses, the NFU has warned.
It comes as Tesco lowered the price of four pints of milk to £1.
NFU President Meurig Raymond said he hoped it would not prompt a trend which could have a long-term impact on British farmers.
He said: “We recognise that it is an incredibly competitive retail environment and that many retailers had already lowered the cost of staple items, such as milk, before this week’s announcement by Tesco.
“What’s important is that these price wars do not undermine the value of the products which farmers and growers work tirelessly to produce and meet world class standards.
“What we want to see is decisions on pricing that ensures the longer term sustainability of food production – enabling growth and investment in the raw material production so that we are able to grow, innovate and provide choice to meet future consumer demand.”