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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.}

09/09/20

Lactalis (AKA The Fresh Milk Company & Seriously strong cheese)

Are due to announce their 1st October to 31st December quarterly farmgate milk price within days. Currently for this month it remains at 28.11ppl based on a manufacturing standard litre.

09/09/20

First Milk to stand on with its milk price until 1st November

This maintains the Co-op’s manufacturing standard litre price at 28.15ppl including the member premium. For those members aligned to the Tesco cheese group the increase takes their manufacturing standard litre price to 29.65ppl. Based on www.milkprices.com First Milks standard liquid litre the price increases to 27.25ppl.

09/09/20

South Caernarfon Creamery to stand on until 1st November

This maintains producers manufacturing standard litre milk price at 28.03ppl and based on a liquid standard litre at 27.09ppl.

09/09/20

0.3ppl Milk Price increase for suppliers to Medina – from 1st October

This increase takes produces average contract liquid standard litre price to 26.05ppl.

09/09/20

0.5ppl Milk Price increase for suppliers to Belton Farm (cheese) – from 1st October

This increase takes producers manufacturing standard litre to 27.5ppl and based on a liquid standard litre to 26.75ppl.

09/09/20

1ppl Milk Price increase for Wyke Farms (cheese) suppliers – from 1st October

This increase takes producers manufacturing standard litre price to 29.014ppl and based on a liquid standard litre 28ppl. This increase puts Wyke right up there with the best GB farmgate cheese prices a fraction behind Arla 29.26ppl (September price), Saputo/Dairy Crest 29.15ppl. In a letter to its suppliers Wykes milk Procurement Director comments “Firm cheddar prices have allowed our sales team to increase prices into some of our UK customers, and our exports of cheddar are returning to a normal level.

28/08/20

AMPE & MCVE Calculation Uprade

Following its 3 year review of AMPE and MCVE, AHDB Dairy have reviewed the numbers and produced a revised calculation which takes into account increased average compositional quality, increased production costs etc. Consequently, the AMPE and MCVE prices quoted above and going forward are based on the new calculation. Note neither calculation includes the cost of hauling milk from the farmgate to the dairy processor.

28/08/20

1ppl milk price increase for suppliers to Pensworth (Liquid) – from 1st September

This takes producers standard liquid litre price to 26ppl with no A and B pricing.

28/08/20

1ppl milk price increase for suppliers to Llaeth Cymreig (Welsh liquid) – from 1st September

We believe this takes producers standard liquid litre milk price to 26ppl (tbc) with no A and B pricing since June.

28/08/20

0.2ppl milk price increase for suppliers to Lancashire Dairies/Pakeeza – from 1st September

This takes producers base liquid standard litre price to 27ppl and when this is added to the bonuses, the vast majority of its producers qualify for e.g; grazing bonus it takes the standard litre price to a minimum of 28.5ppl with some ticking the boxes and achieving 30ppl plus. Note Pakeeza has no A and B pricing or a producer haulage charge.

28/08/20

1ppl milk price increase for suppliers to Glanbia (Cheese) – from 1st September

This takes producers standard manufacturing litre price to 27ppl and based on a liquid litre 26.1ppl.

28/08/20

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

The 1st September milk price negotiations between Dairy Crest Direct/DPO and Saputo didn’t end well, and the failure to agree the September milk price triggered deadlock and with that the option for any DCD producers to leave after 3 months. This 1st October agreed 0.5ppl increase will likely mean no DCD/Saputo suppliers will actually leave to supply another milk buyer, especially given the new standard manufacturing litre price is 29.