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.

0.75ppl Milk Price increase for Co-op members supplying South Caernarfon Creameries – from July 1st

This increases producer’s manufacturing standard litre price to 30ppl.

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1ppl Milk Price increase for suppliers to Dairy Partners Newcastle Emlyn – from June 1st

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29ppl Fixed Price deal option for Muller Directs

Mullers initial 3 year Fixed Price option has run its course at the 28ppl as offered in June 2018 which was a Lidl triggered offering. From the 1st July 2021 the successor Lidl / Muller Direct offering is a 29ppl for up to 50% of individual farmers milk supply subject to a minimum monthly commitment of at least 120,000 litres.  The deal is a fixed price for 3 years in multiples of 10,000 litres.

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Saputo (AKA Dairy Crest Davidstow) stand on milk price for July

This maintains producers manufacturing standard litre price at 30.65ppl and 29.56ppl based on a liquid standard litre.

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Still to declare any Milk Price movement in June or July

County Milk Products Lanchester Cotteswold Greencroft (Northlakes) Jacksons Llaeth Cymreig   If you hear otherwise, please email us on info@ipmsltd.co.uk  

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Peak production date pulled forward into April.

According to AHDB peak GB milk output came earlier than anticipated peaking on April 28th at 37.93 million litres with a 7 day rolling average output of 37.77 million litres day.

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New intensive Badger cull licensing to stop after 2022

This is a huge blow for the cattle farmers despite the fact all the evidence points to culling helping to control the spread of TB. In addition, there will be restrictions placed on supplementary cull licencing.

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Global outlook

Rabobank’s global outlook for Dairy Prices is positive with once again the main driver being Chinese demand for Dairy Products. Chinese Demand from China is extremely strong and is heading North of taking more than 40% of New Zealand’s exports in Dairy in 2021. Rabobank’s projections indicate dairy commodity prices will remain strong well into 2022 despite the fact recent global milk output is expected to increase by 6% in 2021.

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3ppl/1.5ppl milk price increase for Pensworth suppliers from 1st July (Updated 02/06/2021)

Pensworth have recently completed a business re-organisation including succession planning. A new contract is on offer to its farmers which will see a 3.0ppl liquid standard litre price increase to 28ppl from July 1st for the farmers who sign. Those who remain on the current contract the standard litre price will receive an increase of 1.5ppl to 26.5ppl from 1st July.

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0.8ppl Milk Price increase for suppliers to Wensleydale Creamery (cheese) – from June 1st (Amended 25/05/2021 12.16pm)

This increases producer’s manufacturing standard litre price to 29.45ppl and liquid standard litre price to 28.5ppl.

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0.44ppl Milk Price increase for Arla members – from June 1st.

The Arla model continues to lead the upward movement in farmgate milk prices. This latest 0.5 eurocents increase results in a June manufacturing standard litre price of 33.23ppl and based on a liquid standard litre 31.98ppl. The increase also applies to Arla’s organic suppliers taking their manufacturing standard litre price to 41.59ppl and 40.02ppl based on a liquid standard litre.

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2ppl Milk Price increase for suppliers to Paynes Dairies (Liquid)

This is split over two months with an additional 1.5ppl from 1st of June, followed by 0.5ppl on 1st of July.   According to our calculation this will increase producer’s liquid standard litre to 28ppl from 1st June and 28.5ppl from 1st July.

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