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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.}

31/03/22

Freshways and Medina merger gets the thumbs up from the Competition Authority

Discussions between the two middle ground liquid processors started in February 2019 and 3 years later the CMA (Competition and Markets Authority) has issued its decision and fortunately for all involved in UK Dairy Plc they have decided not to refer the merger and have effectively given it a green light with no conditions. The combined businesses will process circa 450 million litres milk a year from its sites in Acton (London), Buckleys (Huddersfield) and from a soon to be reopened Watsons (Southampton).

31/03/22

3ppl milk price increase for members of South Caernarfon Creameries (SCC cheese) – from 1st May

This increase takes members manufacturing standard litre price to 40ppl and we believe SCC is the first GB cheese processor to declare a 40ppl farmgate milk price.

30/03/22

40ppl milk price for Muller Direct Suppliers – from 1st May

Yes a 3.5ppl price increase brings Muller into a pack of liquid processors who are paying a liquid standard litre price of 40p or more from May 1st. Like most if not all other processors Muller will probably now have to recover the extra payment plus its own additional costs from its customers or as an alternative face having to Decline business and walk away.

30/03/22

3ppl milk price increase for suppliers to Wells Farm (liquid) – from 1st May

This increases producers standard liquid litre price to 40.2ppl

30/03/22

1.5ppl milk price increase for suppliers to Creamline (liquid) – from 1st April

This takes producers standard liquid litre price to 35.91 ppl based on a combined index price of two liquid processors viz Muller 36.5ppl and Grahams 36ppl liquid standard litre prices from 1st April. The 35.91ppl excludes any discretionary bonuses.

29/03/22

2ppl milk price increase for suppliers to Greencroft Milk/North Lakes Foods – from 1st May

This increases producers liquid standard litre price to 39ppl to which should be added in house bonuses which more than 50% of its farmer supplies achieve.

29/03/22

1.5ppl milk price increase for suppliers to Lactalis (The Fresh Milk Company) – from 1st April plus a 1ppl guarantee for May

The April 1st 1.5ppl increase takes producers liquid standard litre price to 36.5ppl and based on a manufacturing standard litre to 37.98ppl. In addition, Lactalis have agreed that a minimum additional 1ppl will be paid from May 1st which increases producers liquid standard litre to 37.5ppl and manufacturing standard litre to 39.02ppl

28/03/22

4ppl milk price rise to Payne’s Dairies farmers

Payne’s Dairies have confirmed a 1st April 1ppl milk price rise to take its suppliers liquid standard litre price to 37ppl. In addition, a further 3ppl is expected to be added on the 1st May to take its standard litre price to a level 40ppl. This puts Payne’s and Freshways at 40ppl for 1st May and Medina at 39.8ppl. Arla are at 38.2ppl for 1st April whilst Muller are at 36.

28/03/22

2ppl milk price increase for suppliers to Llaeth Cymreig (Liquid) - from 1st April

This increases producers liquid standard litre price to 35.5ppl

28/03/22

5ppl A litre milk price increase for OMSCo (liquid) suppliers – from 1st April

This increase is only for milk supplied in April, May and June and increases producers standard liquid litre price to 37.25ppl which includes all bonuses. See story on this website dated 7th March for more detail on the breakdown.

28/03/22

1ppl milk price increase for Glanbia cheese suppliers – from 1st April

This increases producers manufacturing standard litre price to 37ppl and based on a liquid standard litre to 35.73ppl

28/03/22

4.72ppl exceptional circumstances price increase for Sainsburys aligned – from 1st April

In response to extreme unrest amongst Sainsburys producers and the acceptance that its cost of production model is simply unable to keep pace with the unprecedented escalation in production costs, comes this desperately needed additional top up. The 4.72ppl increase will put SDDG members liquid standard litre price to 38.62ppl which will be a welcome relief to its suppliers and put the aligned group back in the mix with the non aligned.