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Tesco to pay farmers more for milk used in cheese production Farmers' union welcomes move by UK's biggest retailer to pay price based on cost of production as significant Tesco has agreed to increase the amount it pays farmers for milk used to produce cheese, in a major victory for the dairy industry in its battle with supermarkets. Britain's biggest retailer will pay farmers a price based on the cost of production in what farming leaders described as a significant move.
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