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MILK PRICE BOOST
By Cedric Porter MILK prices are rising following the wet spring and a strengthening global dairy market, with major processors across the UK announcing improved June and July prices, with some heading over the 40ppl mark. And the wet weather was continuing to take its toll, despite the Met Office declaring May the warmest on record, with producers having to bring herds inside due to rain. Arla announced a 0.44ppl increase from June 1. That takes its conventional manufacturing milk price to 40.89ppl and its liquid price to 39.23ppl. There is a 0.89ppl increase in the organic milk price, taking the manufacturing price to 50.87ppl and the liquid price to 48.81ppl. Arla Foods director and farmer Arthur Fearnall said: “Global milk supplies continue to be stable or slightly lower, retail sales continue to show growth and commodity markets are stable. However, fat prices are increas-
p1 Jun7 AB OM KH.indd 2
ing. In the UK, the organic milk price increase is driven by increasing profitability. Overall, the outlook is stable.” Muller has increased its July milk price by 1ppl to 39ppl including its Muller Advantage premium. It comes as the dairy announced plans to take over West Lancashirebased Yew Tree Dairy in a bid to boost its export business. The company said the deal was expected to be finalised later this year subject to approval from the Competition and Markets Authority. First Milk has increased its July member milk price by 0.8ppl to 40.3ppl for its standard manufacturing price. Farmer director and vicechair Mike Smith said that it was ‘great’ to deliver a price increase following the very difficult spring. Saputo said, in agreement with Davidstow Creamery Direct, it will be increasing its negotiated base price for all core volume litres by 0.5ppl to 40ppl from July 1. Cheesemaker Barbers increased its
PICTURE: JOHN EVESON
● Wet weather supports markets ● Processors announce increases
Major milk processors across the UK have announced improved June and July prices.
July price by 1.03ppl to 41.28ppl – the sixth increase this year. Head of milk supply operations Michael Masters highlighted the continuing challenging weather, with two inches of rain in much of the company’s region in the last week of May resulting in herds being housed again. Grass growth was still rapid but
managing this was testing many farmers, with silage for feed this winter unlikely to set new records for feeding quality or milk production, he said. Meadow has announced it will be increasing its milk price by 1.7ppl from June 1, 2024, taking its standard litre milk price to 37ppl. CONTINUED ON PAGE 13
05/06/2024 16:49