Dairy Industry News and Features

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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 Ian & the team 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 Ian Potter 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.

National Milk Production

According to AHDB Dairy the current production forecast is for total GB milk production to reach 12.48 billion litres. Farmgate output was lost in the April to June period when several liquid processors encouraged / forced / panicked its supplying farmers to cut production.

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0.5ppl Milk Price increase for suppliers to Wensleydale Creamery (Cheese) – from 1st October

This increase takes producers standard manufacturing litre price to 27.95ppl and based on a standard liquid litre price to 27ppl.

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0.5ppl milk price increase for farmers supplying The Fresh Milk Company AKA Lactalis (Cheese)- from 1st October

This increase takes producers manufacturing standard litre price to 28.61ppl and based on a liquid standard litre to 27.5ppl.

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0.75ppl Milk Price increase for farmers supplying Dairy Partners (Cheese) - from 1st October – PRODUCER NOTIFIED

This takes producer standard liquid litre price to circa 26.75ppl TBC

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1ppl Milk Price increase for farmers supplying Glanbia (Cheese) - from 1st October

This increase takes producers standard manufacturing litre milk price to 28ppl and based on a liquid standard litre 27.1ppl.

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0.5ppl Milk Price increase for suppliers to Grahams Dairies (Liquid) Scotland – from 1st of October

This increase takes producers standard liquid litre price to 26ppl.

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1ppl Milk Price increase for farmers supplying Freshways – from 1st November

This increase takes producers standard liquid litre price to 27ppl.

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0.5ppl milk price increase for Arla Members from 1st October

Arla’s conventional and organic milk standard manufacturing litre milk prices for October will increase by 0.5ppl. This translates to a conventional manufacturing standard litre milk price of 29.76ppl and based on a liquid standard litre 28.66ppl  For Arla’s organic members the manufacturing standard litre increases to 38.12ppl and based on a liquid standard litre to 36.

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0.5ppl milk price increase for Arla Members from 1st October

Arla’s conventional and organic milk  standard manufacturing litre milk prices for October will increase by 0.5ppl. This translates to a conventional manufacturing standard litre milk price of 29.76ppl and based on a liquid standard litre 28.66ppl For Arla’s organic members the manufacturing standard litre increases to 38.12ppl and based on a liquid standard litre to 36.

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Arla’s machine continues to deliver impressive results

For those in the dairy industry who use their prayer mats pointing to Leeds and Denmark hoping one day Arla will come unstuck the Co-op giant seems to go from strength to strength rarely putting a commercial foot wrong. Its first half year results for 2020 were very strong in particular the sales of its branded products which recorded an impressive 10.4% growth.

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Roddas (clotted cream) deliver strong financials

Roddas Cornish clotted cream 2019/20 year results are strong with turnover up £2 million (+5.6%) to £38 million and an operating income of £1.88 million with gross profit up to 24.7%. Bank borrowing decreased from £4.13 million to £1.74 million At farmgate level in Cornwall a Roddas contract remains a blue chip must have one. During 2019/20 to date the farmgate liquid litre price has been very stable at 29.

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GDT average falls for a fourth consecutive auction

Last Tuesdays GDT Auction average fell a further 1% to average US $2955 The quantity sold was up 4,325 tonnes (+14%) to that sold only two weeks earlier. However, despite the recent GDT falls Fonterra continue to hold its forecast farmgate payout. The next Auction is on Tuesday next 15th September.

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