Boost for Arla milk suppliers
WESTCOUNTRY dairy farmers supplying Arla Foods have welcomed the start of a new week with a boost to their milk cheques.
Coming into effect on May 1, there was an increase of 4.0€c/kg to the Arla on-account price for conventional milk, and 3.0€c/kg for organic milk.
This means that the cooperative’s farmgate milk price for the standard manufacturing litre rose by 3.58p/ litre to 43.30p/litre for conventional and 49.58p/litre for organic.
Arthur Fearnall, Arla Foods board director and farmer owner, said: “There is no doubt that this is a significant increase in our farmgate milk price and of course, it will be welcomed by our farmer owners who are experiencing ever mounting cost pressures on farm. Pricing for all EU dairy commodities has continued to increase significantly, driven by conventional milk and products like mozzarella and yellow cheese.”
Owned by 9,900 dairy farmers across Europe, around 2,400 of whom are British, Arla Foods is the largest dairy company in the country and home to leading brands Anchor, Arla Cravendale and Arla Lactofree.
As well as being a leading supplier of fresh milk, number one in butter, spreads and cream, Arla is the UK’s largest cheese manufacturer, with dairies across the country including Taw Valley Creamery in West Devon.
Paul Savage, agriculture director for Arla UK, hopes the price rise will give farmers more confidence to make some of the short term investment and operating decisions on-farm. He added: “However, on-farm costs continue to rise with no signs of slowing, therefore longer term decisions, investments in our industry-leading standards in sustainability and animal welfare can only come from farmer confidence in a sustainable farmgate milk price.”