26 Jan 2011

Australian supermarkets to cut milk price

7:58 pm on 26 January 2011

Australian supermarket giants Coles and Woolworths plan to reduce the price of their milk by about a third.

A two-litre container of the supermarkets' own-brand milk will cost about $A2.

The equivalent Woolworths' two-litre bottle in New Zealand costs $NZ4.15.

Lobby group Australian Dairy Farmers says the move could destroy the local dairy industry, as other producers struggle to compete, the ABC reports.

Coles says farmers will still get exactly the same price for their milk.