A STUDENT demanding Coles stop denying its influence on the milk supply chain has released a video to counter the supermarket's campaign.

Earlier this month Coles released a short cartoon-like video in an attempt to explain the price farmers were paid to supply the company's $1 a litre milk and the supply chain.

Charles Sturt University fifth year veterinary science student Cassandra MacDonald yesterday posted her 5.30 minute video on YouTube which ends with the phrase Coles doesn't "give a buck" about dairy farmers.

The video, The TRUTH about the supermarket milk price war, which uses Coles' cartoon style took about two weeks from writing to posting.

Ms MacDonald said the Coles' cartoon angered her because of its "misrepresentations" and attempt to "brainwash customers".

"They don't understand (customers) and they are going to take it as fact – that's the hard thing when you are dealing with someone as powerful as Coles," she said.

Coles claimed its profit from two litres of its branded milk was slashed from about 55c to 10c, while processors still got about $1 and the farmgate price for two litres went up about 4c to 90c.

Dairy farmers dispute these figures.

The former Hurlstone Agricultural High School student said the dairy industry had provided her with many opportunities including showing cattle and she wanted to do something to help.

The video includes facts like NSW and Queensland were the major fresh domestic milk suppliers and farmers in other states were supplying export markets.

It pleads for Coles to "stop denying" it doesn't have an impact on farmgate prices.

It alleges the company seeks bids every two years for the supply of its homebrand label and processors are desperate for shelf space for their branded products and drop their homebrand prices to secure that relationship with the company.

"My main aim is to educate people to make better decisions because this has been going on for two years and it's obvious Coles don't care what effect it has. Targeting consumers is going to be the best approach."

Coles' spokesman Jim Cooper told Weekly Times Now: "We're comfortable our milk pricing video outlines the facts for customers who will make up their own mind, as they do every day when they shop."

Earlier this month company spokesman Jon Church said the $1-a-litre milk helped customers meet rising household costs.

Mr Church said the information was based on Coles and ABARE data, however, he acknowledged that the markets were different in each state with factors such as logistics, climate and soil conditions affecting the cost of production.