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 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.

Sainsburys forced to recall its “love your veg” products which contain milk and meat

It appears the mistake happened during labelling and it has caused uproar from Sainsburys Vegan customers, plus others, with the vegan labelled products containing pork, beef and milk ingredients. The recall was made under the instruction of the Food Standards Agency particularly on the grounds that someone with an allergy or intolerance could end up with a health issue.

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Another set of excellent result for First Milk

First Milks annual accounts to year end 31st March 2021 are another set of excellent results which its members should be proud of.   Ten years ago, few would have predicted that First Milks turnaround would have resulted in its member milk price featuring in the top quartile of GB farmgate prices and have a long waiting list of farmers keen to leave their independent milk purchaser to join the Co-Op.

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Saputo to buy Wensleydale Creamery business

Canadian based Saputo, who purchased the Dairy Crest cheese business in early 2019 for £975 million, have today announced they have agreed to purchase the Wensleydale Dairy Products business for £23 million subject to meeting UK regulatory requirements. If all goes to plan the deal will be completed on the 30th of July. Ironically Dairy Crest closed the Wensleydale Creamery in May 1992.

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GDT Average falls by 3.6%

This is a sizeable fall at today’s auction and take the average price below $4,000 to $3924 tonne. Cheddar               down 9.2%          to average $3949 SMP                       down 7.0%          to average $3126 Butter                   down 3.2%          to average $4458 WMP                     down 3.0%          to average $3864 Total tonnage sold 24,278 Next auction Tuesday 20th July.

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0.53ppl milk price increase for Tesco aligned group – from 1st August

This results in a Muller Milk liquid standard litre price of 32.66ppl and for Arla’s members 32.41ppl.

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0.5ppl milk price increase for Wensleydale Creamery (Cheese) suppliers – from 1st July 

This increase takes producers manufacturing standard litre to 29ppl.  

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Freshways B litre price to 31st December 2021

Freshways have gained another brownie point with a commitment to its producers that from 1st July to 31st December any B litres, over and above their A litre quota, will be paid the A price for that month as a minimum base price and hopefully more. Freshways liquid standard litre price for July is 28.5ppl.  

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AMPE & MCVE

AMPE has seen its first reduction in 2021 reflecting a slight June softening in both SMPand butter prices due to a cooling off in demand. The reduction equates to 2%. See table above (source AHDB Dairy).  Note both AMPE and MCVE are monthly values. AMPE is (Actual Milk Price Equivalent) and an indicator of the factory gate value of a litre of milk used for butter and skimmed milk powder.

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0.5ppl milk price increase for suppliers to Saputo (AKA Dairy Crest) – from 1st August

This increases producer manufacturing standard litre price to 31.15ppl and based on a liquid standard litre to 30.04ppl.

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0.75ppl increase for suppliers to Pattermores (Liquid) – from 1st July

This increases producer's liquid standard litre price to 29ppl and based on a manufacturing standard litre to 29.918ppl.

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0.5ppl Milk Price increase for First Milk members = 4 in a row and 31ppl

First Milk has made it four consecutive price increases in a row with the announcement of this 0.5ppl 1st August increase. This increase results in a (www.milkprices.com) standard manufacturing litre price of 31ppl and based on a liquid standard litre 30ppl (TBC).

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Arla to stand on for July

Arla’s member milk price will remain at its June heights for July. There is a tiny 0.03ppl quarterly currency smoothing adjustment from July 1st which slightly reduces the June price.                                                       Conventional         Organic 1st July  Manufacturing Standard Litre         33.20ppl              41.56ppl Liquid Standard Litre                      31.

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