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Dairy Industry News and Features

Our Weekly News Bulletin is available by email. To receive it please email info@ipmsltd.co.uk.

^{Note, all standard litre prices are those quoted by www.milkprices.com and are based on the following:

The liquid standard litre 4% bf, 3.3% protein, 30,000/ml Bactoscans, 200,000/ml SCC, 1 million litres a year on EODC but before seasonality, monthly profile payments, balancing, B price additions, capital retentions or annual incentive schemes. The manufacturing standard litre is to exactly the same specification with the exception of 4.2%bf and 3.4% protein.}

^{Remember this bulletin continues to be available free of charge and takes the team at Ian Potter Associates considerable time to produce. The only encouragement to keep producing it is a combination of enthusiasm, tag sales & enquiries from our readers.} ^{All views expressed in this bulletin are those of Ian Potter Associates and a shed load of dairy farmers. It is necessarily short and cannot deal with various issues that arise in any detail. As a result it must not be relied on as giving sufficient advice in any specific case. Every effort has been made to ensure the accuracy of the content but neither Ian Potter Associates nor Lydia Clare personally can accept any liability for any errors or omissions. Professional advice must always be taken before any decision is reached. For our privacy policy please click here.}

29/03/22

1.5ppl milk price increase for suppliers to Lactalis (The Fresh Milk Company) – from 1st April plus a 1ppl guarantee for May

The April 1st 1.5ppl increase takes producers liquid standard litre price to 36.5ppl and based on a manufacturing standard litre to 37.98ppl. In addition, Lactalis have agreed that a minimum additional 1ppl will be paid from May 1st which increases producers liquid standard litre to 37.5ppl and manufacturing standard litre to 39.02ppl

28/03/22

4ppl milk price rise to Payne’s Dairies farmers

Payne’s Dairies have confirmed a 1st April 1ppl milk price rise to take its suppliers liquid standard litre price to 37ppl. In addition, a further 3ppl is expected to be added on the 1st May to take its standard litre price to a level 40ppl. This puts Payne’s and Freshways at 40ppl for 1st May and Medina at 39.8ppl. Arla are at 38.2ppl for 1st April whilst Muller are at 36.

28/03/22

2ppl milk price increase for suppliers to Llaeth Cymreig (Liquid) - from 1st April

This increases producers liquid standard litre price to 35.5ppl

28/03/22

5ppl A litre milk price increase for OMSCo (liquid) suppliers – from 1st April

This increase is only for milk supplied in April, May and June and increases producers standard liquid litre price to 37.25ppl which includes all bonuses. See story on this website dated 7th March for more detail on the breakdown.

28/03/22

1ppl milk price increase for Glanbia cheese suppliers – from 1st April

This increases producers manufacturing standard litre price to 37ppl and based on a liquid standard litre to 35.73ppl

28/03/22

4.72ppl exceptional circumstances price increase for Sainsburys aligned – from 1st April

In response to extreme unrest amongst Sainsburys producers and the acceptance that its cost of production model is simply unable to keep pace with the unprecedented escalation in production costs, comes this desperately needed additional top up. The 4.72ppl increase will put SDDG members liquid standard litre price to 38.62ppl which will be a welcome relief to its suppliers and put the aligned group back in the mix with the non aligned.

28/03/22

AMPE rockets to 54.48ppl with MCVE 49.95

Both AMPE and MCVE market indicators continue to smash their all-time records with AMPE jumping a whopping 5.62ppl in one month to give a new March value of 54.48ppl (source AHDB Dairy) AMPE is The Actual Milk Price Equivalent and is an indicator of the factory gate value of a litre of milk which goes into Butter and SMP. MCVE is The Milk for Cheese Value Equivalent and is an indicator of the factory gate value of a litre of milk which goes into mild cheddar and whey powder/butter.

28/03/22

Less than 3 days to Register to have your say on how your AHDB Dairy levy is spent

Registration to take part in AHDB’s Shape the Future vote closes at noon on 31 March. Over 2500 dairy farmers have already registered. Don’t leave it to others to determine where your dairy levy will be spent. Registration link below: https://secure.cesvotes.com/V3-1-0/ahdbregistration/en/login

25/03/22

Arla has opened its UK recruitment hotline register

Given recent global milk production declines it was always a question of when rather than will Arla look to recruit new producers. Well as of today Arla are compiling a register of producers who wish to supply them potentially as full members or direct suppliers. So, the door is opening. Note Arla have also confirmed its NOT a case of first to call first to be considered.

24/03/22

0.46ppl milk price increase for Arla members – from 1st April

The increase is 0.5 euro cents (0.46ppl) however there is a 0.12ppl negative quarterly currency adjustment which reduces the nett amount to 0.34ppl. This increase results in the following www.milkprices.com standard litre price Conventional Organic Manufacturing 39.72 47.

24/03/22

2ppl milk price increase for suppliers to Medina Dairy – from 1st May

This increase takes producers liquid standard litre price to 39.8ppl

18/03/22

40ppl liquid standard litre price for Freshways suppliers – from 1st May

Freshways are the first GB processor to declare a 40p standard litre price other than M&S and its aligned group. The big question is will 40p encourage producers to push on and increase production. The industry problem is that costs are escalating much quicker than the market can respond to and cash flow is tighter than ever before let alone the problem of finding good staff to work on progressive dairy units.