The crisis in the UK dairy market is intensifying: supplier Ever Fresh Dairy has entered liquidation amid milk oversupply and falling farm-gate prices. According to The Sun, this is yet another sign of mounting pressure on the country’s entire dairy sector.
Winding up of a dairy supplier
Ever Fresh Dairy, a London-based company that supplied milk, butter, cheese, eggs, yoghurt and bread, officially commenced liquidation proceedings on 19 March 2026.
The creditors have appointed joint liquidators from Begbies Traynor, indicating that the business is facing serious financial difficulties.
As early as October 2025, the company received a court order for compulsory liquidation, indicating that it had been facing prolonged difficulties long before it was officially declared bankrupt.
The fall in milk prices
The company’s collapse comes against the backdrop of a sharp deterioration in the situation for British farmers.
Farm-gate milk prices have fallen by up to 40%, or approximately 15 pence per litre, since October 2025.
The main reason was overproduction, both in the UK and on the global milk market.
Overproduction and market pressure
Milk production in the country exceeds processing capacity and consumer demand.
The surplus of raw materials is putting pressure on producers of cheese, yoghurt and other dairy products, leading to financial difficulties throughout the supply chain — from farmers to processors and distributors.
According to forecasts, milk production in the UK is set to exceed 13 billion litres in 2026, which will only exacerbate the market imbalance.
A chain reaction in the industry
The situation highlights a systemic problem: the fall in raw material prices is not being offset by rising demand, which is creating a liquidity crisis for companies operating in the dairy sector.
Ever Fresh Dairy positioned itself as a supplier of value-added products, but even this segment was unable to withstand market pressures.
Source: The Sun
