Fane Valley/ABP joint venture must deliver for farmers, says UFU

Mr Chestnutt said: “News of the deal will be met with mixed opinions from farmers given that there has always been concerns about how much genuine competition there is between processors in Northern Ireland.”

He made the comments following the decision by the European Commission to approve the joint venture.

The UFU deputy president said: “The combined resources should put them in a better position to improve the efficiency of their operations and the marketing of their products to new and existing markets.

“However, we are in uncertain times and these companies must realise that the success of their venture will be entirely dependent on whether they can return sustainable prices to the farmers, who supply them with the raw materials they need.”

Mr Chestnutt said processors in the sector need to work hard to offer more stability for farmers.