Muller will no doubt by delighted to be the only dairy brand to make The Grocer’s Top 10, having retained its 7th position for a second year. Other dairy brands were Lurpak 19th (19th in 2017) Arla 22nd (26th in 2017) and Yeo Valley 53rd (50th in 2017)
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Wyke Farms, Somerset, has opened its recruitment door seeking at least 25million litres of extra milk. The milk is required due to increased exports with Wyke after new producers ideally within a 50mile radius of the dairy in Bruton over an area which extends into Gloucestershire, Somerset, Wiltshire, Devon & Dorset
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The information received indicates the discounted milk was supplied by Paynes Dairies.
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It sounds like the mother of all price drops and it is but to balance this drop is the fact that Lactalis have held their producer price since November at 29.91ppl. Similarly this latest price is guaranteed by Lactalis for a minimum for three months until July 1st. The resulting manufacturing standard litre price is 26.91ppl and based on a liquid standard litre will be 26ppl.
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This takes producers’ standard liquid litre milk price to 26ppl and based on the manufacturing standard litre it calculates to 26.37ppl (Chester based) and 26.25ppl (Cumbria) (www.milkprices.com)
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The resulting manufacturing standard litre price is 28.62ppl and based on a standard liquid litre 27.65ppl.
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This should result in a standard liquid litre price of 26.2ppl
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Arla will not reduce its conventional milk price for April and the likelihood and expectation is that the next time Arla members milk price moves it will be upwards. In addition, the April to June currency smoothing mechanism results in a 0.32ppl increase, which results in a 1st April standard liquid litre price of 26.39ppl and a manufacturing standard litre price of 27.
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In our last bulletin we stated that the producer notified 1ppl milk price cut for suppliers to Wensleydale Creamery took effect from 1st April. Two producers have confirmed that the cut was actually announced with immediate effect from 1st March
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This week’s GDT auction saw the average price fall 1.2% to average US$3632 tonne. Note, the quantity on offer was down 3.4% to 18,635 tonnes. Key price movements were: SMP down 8.6% to average US$1887 tonne Cheddar down 3.9% to average US$3609 tonne Butter no change average US$5281 tonne WMP up 0.1% to average US$ 3226 tonne
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Democracy has certainly played its part in the recent elections which have seen four out of six candidates elected to join three others making a total of 7 who represent 1700 Muller suppliers along with the 20 members of Muller’s Farmer Forum. David Halhead and Ian Speed were the two unsuccessful candidates who now step down from their existing board positions and the successful four were David Herdman, Philip Rowney, Ray Gibbins and Richard Pearman.
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AHDB Dairy estimate the recent snow resulted in around 19 million litres of milk failing to be collected in GB between 28th February and 3rd March
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