Dairy shortage hits Melbourne as shoppers are slapped with buying limits on milk, butter, ice cream, cheese and yoghurt amid fears of Covid-style panic buying

Major supermarkets have started rationing milk sales to prevent Covid-style panic buying, as the fallout from a major dairy worker strike begins to hit consumers.

Stores in Melbourne’s south-east limited customers to two bottles of milk each after 1,550 workers at Fonterra, Saputo, Lactalis and Peters factories walked off the job.

The range of Woolworths own brand milk and cream, plus Western Star butter, Peters ice cream and some popular cheeses and yoghurts could also be affected.

Some Woolworths stores carried notes warning of ‘product shortages in our Woolworths milk range’ due to ‘supply disruptions’.

‘The limit for milk is 2 units per customer. Thank you for your understanding during the milk shortage,” read a sign on the refrigerator door of the Murrumbeena IGA.

Major supermarkets have started rationing milk sales to prevent Covid-style panic buying as the fallout from major dairy farmers' strikes begins to hit consumers

Major supermarkets have started rationing milk sales to prevent Covid-style panic buying as the fallout from major dairy farmers’ strikes begins to hit consumers

The range of Woolworths own brand milk and cream, plus Western Star butter, Peters ice cream and some popular cheeses and yoghurts could also be affected

The range of Woolworths own brand milk and cream, plus Western Star butter, Peters ice cream and some popular cheeses and yoghurts could also be affected

The store’s owner, Karen Meredith, told the newspaper Herald Sun it was ‘absolutely slammed’ on Wednesday morning as shoppers bought three two-litre bottles each.

“We got caught out on the toilet paper thing in Covid, so we thought it was fair to just put a limit on it,” she said.

Lindsay Carroll of the National Retail Association urged consumers to remain calm and courteous to supermarket workers during the strike.

‘The impact of the strikes has already spread to the retail sector, where companies are putting up ‘no more dairy’ signs and frustration around shortages is increasing.’

Dairy Farmers Victoria chief executive Andrew Curtis promised Australian families should still be able to find enough milk for their ‘Weeties and lattes’.

Workers striking for better pay include 150 milk tanker drivers and 1,400 dairy workers at four major producers.

In some cases, Victorian dairy farmers have been forced to dump 14,000 liters of milk – worth $10,000 – as Saputo tanker drivers, adhering to the Transport Workers Union-led strike, refused to carry out their usual collections.

The drivers’ strike is taking place over a new business bargaining agreement. They want a higher salary and are also not satisfied with the starting times.

Dairy workers were angry about wage increases of between 2.5 and 3 percent, while the union wants at least 5 percent.

“It’s time to pay the workers who put the products on the shelves a decent wage and give us some respect back,” said United Worker’s Union delegate Dan Brown.

Dairy workers are dissatisfied with low wage increases, while tanker drivers want better conditions

Dairy workers are dissatisfied with low wage increases, while tanker drivers want better conditions

Supplies of several popular dairy products, especially milk, are expected to be in short supply on Thursday

Supplies of several popular dairy products, especially milk, are expected to be in short supply on Thursday

Dairy Farmers Victoria chief executive Andrew Curtis promised Australian families should still be able to find enough milk for their 'Weeties and lattes'

Dairy Farmers Victoria chief executive Andrew Curtis promised Australian families should still be able to find enough milk for their ‘Weeties and lattes’

“Today we know we have the support of 1,400 other people. We have all come together to fight for a fair and reasonable wage increase,” another picket line worker said in a video posted online.

Photos of striking workers flooded social media, with some banners displaying banners with messages mimicking popular brand names produced by their factories, including ‘MaxiCon – striking dairy workers’ and ‘My low wages’.

‘Workers are tired of being milked for all they are worth by big dairies! Time is up: workers need a fair wage offer,” said a message on X from the UWU.

Daily Mail Australia approached Coles and Woolworths for comment.