3.03ppl milk price increase for Arla members takes them to 35.29ppl on 1st December

Posted on: 23/11/21

Arla have today announced a table topping 3.03ppl milk price increase on its liquid standard litre price taking members price to 35.29ppl.

The actual increase is 3 euro cents on both conventional and organic and the resulting www.milkprices.com standard litre prices are as follows:


                                                                                                                                   1/12/21                             1/12/21

                                                                                              Increase               Conventional                     Organic

Based on a Manufacturing Standard Litre                       +3.16ppl                   36.68 ppl                          44.13ppl

(4.2% & 3.4%)

Based on a Liquid Standard Litre                                     +3.03ppl                    35.29ppl                           42.46ppl


This is an all time record milk price and in terms of a move to secure future on farm milk supplies it’s a smart one by Arla.

Amongst dairy farmers there is simply a Tsunami of them commenting to our staff they are cutting back on milk output for various reasons but mainly increasing costs and lack of labour.

As previously highlighted in this bulletin whilst milk processors and retailers can gamble on a spring flush decisions made on farm today over fertilizer inputs in Spring 2022 are being made and farmers are cutting back which will potentially hit winter 2022/23 milk output hard.

This increase will be a big confidence booster to Arla members to try to maintain milk output in 2022 which will be one of Arla’s main goals.

This increase will no doubt terrify some milk buyers who appear to be dragging their heels.

UK processors need to wake up and smell the coffee because its looking like Arla are hell bent on getting all the milk they want and continuity of supply.  If price increases don’t deliver the quantities Arla want Ian believes Arla will selectively recruit new suppliers which will be another blow to several milk processors.

Arla’s immediate task will be to recover this increase and more from its customers or make some brave and unpopular decisions with the resistors.