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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.}

01/07/22

Saputo (Dairy Crest Davidstow) fined a whopping £1.52 million – The Queen is not amused

Saputo have been hit with an eyewatering £1.52 million fine for environmental pollution breaches between 2016 and 2021 following a successful Environment Agency prosecution. The all-time record fine handed down in Truro Court a few days ago came after Saputo pleaded guilty to 21 out of 27 charges. One of the main issues was the discharging of effluent into the local river resulting in thousands of fish dying.

01/07/22

Dairy products are better value per kilocalorie than their plant-based alternatives

An initial study by Kite Consulting reveals plant-based shopping baskets have a higher cost per Kcal (kilocalorie) than conventional baskets at the two major supermarkets it looked at. The study found that the cost of a randomly chosen plant-based shopping basket from Tesco was 39% more expensive per Kcal when compared to a comparable basket of conventional products.

01/07/22

Herdsperson Vacancy on 550 cow unit near Shrewsbury

The vacancy has arisen due to an internal promotion to the role of farm manager. The opportunity will be working in a team of five and comes with an attractive package including regular hours and days off, free accommodation and more. For further details email sarah@ipmsltd.co.uk

30/06/22

4ppl milk price increase for suppliers to Braeforge (AKA Pensworth) from 1st August takes them to 50ppl

This takes their liquid standard litre price to 50ppl and is the first and earliest processor to achieve a 50p price. The price includes the 1ppl paid to all Pensworth producers who participate in their Herd Health Scheme which promotes animal welfare. In a communication to its producers Pensworths Trading Director is very clear on his milk pricing policy “Our aim going forward will be to match market returns and be more aligned with manufacturing contracts.

30/06/22

1.59ppl milk price increase for Arla Directs is disappointing. Is it influenced?

Arla directs who are predominantly Tesco and Sainsburys aligned producers, will be paid an additional 1.59ppl from August 1st taking their liquid standard litre price to 45.03ppl. The 43.44ppl for Arla directs for July is 2.5ppl off the pace and for sure 45.03ppl for August will be lacking. One theory put to Ian by one retailer insider is that Tesco and Sainsburys could be applying pressure and by default influencing Arlas direct prices to ensure they remain below the aligned price to discourage Arla directs from jumping ship.

30/06/22

Stand on for Arla direct Organic producers from 1st August

This leaves their liquid standard litre price at 49.67ppl

30/06/22

1.25ppl milk price increase for suppliers to Saputo (AKA Dairy Crest Davidstow) from 1st August

This increases producers manufacturing standard litre to 48ppl and based on a liquid standard litre 46.28ppl.

30/06/22

1.75ppl milk price increase for suppliers to South Caernarfon Creameries (cheese) from 1st August

This increases producers manufacturing standard litre to 48ppl and based on a liquid standard litre to 46.35ppl

28/06/22

1.66ppl (2 euro cents) milk price increase for Arla conventional members – from 1st July

There will be several milk processors questioning when Arlas farmgate milk price increases will level out knowing that in order to retain producers they have to keep up with Arla. This latest increase results in a manufacturing standard litre price of 49.45ppl and a liquid standard litre price of 47.56ppl and its worth reemphasising this is a 1st July price.

28/06/22

Aylesbury grinds to a halt with some farmers asked to dispose of their milk

Yesterday and into the early hours of this morning Arlas flagship Aylesbury plant ground to a halt due to IT glitches. Problems started on Sunday evening and by yesterday late afternoon around 30 farmers were telephoned by Arla to dump milk due for collection on Monday evening/Tuesday early morning. All milk will be paid for at the full price as if it had been delivered.

28/06/22

0.75ppl (1 euro cent) milk price increase for Arla organic members – from 1st July

With the exception of OMSCo there will be organic milk processors asking the same question as to when Arlas organic farmgate price will level off. Manufacturing 55.11 Liquid 53.01

24/06/22

Waitrose to switch processors from Arla to Muller

From 1st May 2023 Waitrose will switch the processing and packing of its Duchy Organic milk from Arla to Muller. As a result, Arla has served 12 months notice on some of the Waitrose Organic suppliers who will either be taken on a Bossman free transfer to Muller from May 2023 or alternatively will have to find a new milk buyer from 1st July 2023 (when the 12 months’ notice period expires).