FARMERS are celebrating after Morrisons announced the premium from a new milk brand will go directly to the dairy industry.

However, they have not ruled out the possibility of continued protests against other supermarkets in the future.

Morrisons has been one of the main targets for frustrated farmers who have stripped milk from the shelves before dumping it or giving it away for free.

The product will be launched in October and will be sold at a 10p per litre premium to the standard price.

David Handley, of Farmers For Action, said that although direct action would no longer be taken against Morrisons, it would be maintained against other supermarkets.

He said: "You will see activity continuing and we'll try and put a few new twists in it.

"We may even take an elephant to a supermarket, but we haven't worked out yet where we're going to get that from.

"We'll need to find a very big wheelbarrow to follow it around as well."

Leaders from the crisis-hit industry met Morrisons bosses in an attempt to tackle falling milk prices which, the National Farmers Union (NFU) said, will lead to dairy farmers being forced to leave the industry in the next few weeks as they struggle to pay bills and face rising debts.

Afterwards the supermarket's corporate services director Martyn Jones said: "We will be launching a milk brand that allows customers to pay a little more if they want to support British farmers.

"Called Morrisons Milk for Farmers, this product will sell at a 10p per litre premium to the standard Morrisons milk price. "

He added that all of the premium would go back to the farmers that supplied its processor, Arla.

He added: "Consumers can choose whether they want to pay more to support British dairy.

"A recent survey found that more than half of customers said they would be willing to do so."

The news has been welcomed by Sussex farmers who have been struggling to survive with the falling price of milk.

Last week we reported that the number of dairy farms in Sussex has halved over the last 12 years from 223 to 108.

Farmers told The Argus they are struggling to stay open because of the falling milk prices.

While welcoming the move, the NFU and Tenant Farmers Association called for other retailers to step forward saying the industry was in an "unsustainable" position without change.

Farmers estimate that it costs between 30p and 32p to produce a litre of milk but the average price paid across the UK is 23.66p - following a drop of 25% in a year.

Tesco and Sainsburys have so far ruled out a similar move to Morrisons stating that they pay a fair price based on the cost of production.