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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.}

23/04/21

1ppl total price increase for Crediton Dairy suppliers

Crediton Dairy has introduced a 13th payment from April 1st this year with what is understood to be the first 13th payment for a privately owned UK Dairy processor as opposed to a Co-op. The 0.5ppl flat rate payment will be paid in January 2022 on all litres delivered in the 9 month period 1st April to 31st December 2021 unless the farmer is under notice to leave Crediton to supply another milk purchaser.

23/04/21

The average farmgate milk price pay-out for February was 30ppl.

Not quite but according to DEFRA it was 29.93ppl with January recorded at 29.75ppl. Note this is the average price paid into farmers bank accounts NOT a standard litre average.

20/04/21

Spot Milk under 20p as the milk river flows

Despite the cold weather and lack of grass in most of parts of the country the milk taps are on. AHDB predicted last week that peak production would come around May 9th at around 37.8 million litres a day based on a peak 7 day average. However, if volumes continue to run as they are at 1.2% above this initial forecast production will be up a further average 500,000 litres per day to 38.

20/04/21

GDT Auction is a stand on but still high

Todays GDT Auction was more or less a stand on price with the average all products price down 0.1% to average US $4110 tonne. The surge in global dairy prices has resulted in an equal surge in farmer confidence with Rabobank stating that dairy farmer sentiment is at its highest level in more than 3 years. Notable price changes were: Cheddar up 1.

01/04/21

1.5ppl Milk Price increase for suppliers to Saputo (AKA Dairy Crest)

This increase is split over two months and certainly puts Saputo’s suppliers firmly in the top quartile of UK Milk Prices. 1ppl takes effect from 1st May followed by an additional 0.5ppl from 1st June. It increases producers www.milkprices.com manufacturing standard litre price to 30.15ppl (May) and 30.65ppl (June) and based on a liquid standard litre the prices are 29.

01/04/21

0.5ppl Milk Price increase for First Milk members – from 1st May

This increases members standard manufacturing litre price to 29.43ppl.

01/04/21

0.75ppl Milk Price increase for Arla Conventional and Organic directs (Non member suppliers) – from 1st May

This increase lifts producer’s standard liquid litre price to 27.25ppl and for its direct organic producers to 36.34ppl. In addition, Arla have today delivered what has been described as a very tasty cheese hamper to its members as an Easter thank you.

01/04/21

0.86ppl Milk Price increase for Tesco (TSDG) aligned producers from 1st May

This increase takes the Muller TSDG liquid standard litre price to 32.13ppl and the Arla TSDG price to 31.88ppl.

01/04/21

Its stand on for April for all other Milk Purchasers

Unless you inform us otherwise.

01/04/21

AHDB’s ‘We get balanced’ Campaign records positive results

The results of this latest generic campaign after the first three months are very encouraging with clear evidence consumers are viewing the campaign and supporting the balanced diet message. The total spend on the campaign in January and February was £1.5 million (partly funded by dairy) and aimed to emphasise the role dairy and red meat play on a healthy balanced diet.

01/04/21

New CEO for AHDB

Tim Rycroft will be the new CEO of AHDB starting on the 31st of August. The premature departure of Jane King means temporary CEO Ken Boyns will be in place for the 5 month period holding the fort. Mr Rycroft is presently the CEO of the Food and Drink federation and is reported to have an excellent CV. All eyes will be on him to determine whether he is coming in as the Paramedic or The Funeral Director because for sure AHDB faces survival challenges.

01/04/21

First Milk rolls out its 2040 net zero target roadmap

First Milk has declared a range of sustainability projects at both processor and farmer member level. One of the projects will involve the UK’s first field by field soil carbon recoding which it claims to be the first in the world. It’s a precise and onerous exercise involving First Milk, Nestle and Agricarbon and some expensive state of the art machinery.