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And only so many farmers are likely to be able to sell branded premium milk.
Bosses launched a premium milk earlier this week, which cost 10p a litre more than its standard milk with the extra cash going to farmers.
So he looked for an alternative in which a farm could produce premium milk, process it and sell it on its own label.
Mr. Kern was the former president and CEO of Dellwood Foods in Yonkers, NY, known for its premium milk and dairy products in the New York area under the slogan, "From Dellwood With Love".
For example, use of recombinant bovine somatotropin (rbST) serves to increase milk produced per cow, but in areas where non-rbST premium milk prices are provided, a lower effective price per unit is received for milk produced under the technology.
For Coke, premium milk is part of a broader push to diversify as Americans tire of soda.
Similar(51)
Some questioned the fairness of the Keerys' pricing – they also offer "premium milks" for an extra 40p and toast for £1.50 – while others, including the London mayor Boris Johnson, rushed to defend their entrepreneurial spirit.
Tran Bao Minh, its marketing chief, says it is promoting a "Pure Premium" fresh milk brand that costs 10% more than the equivalent product of Dutch Lady, a European competitor.
The farms he looked at that had tried it weren't succeeding, so he came up with the idea of a nonprofit co-op selling premium-quality milk, without artificial hormones, traveling 80 or so miles instead of 1,200, to customers in the Northeast.
Morrisons announced increased premiums on milk for farmers, after a similar move by the Co-operative on Friday.
This reduction is likely due to consumer concerns regarding rbST and resultant premiums for milk produced without the use of rbST.
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