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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.}

07/05/20

0.61ppl deferred milk price reduction for Marks & Spencers aligned suppliers

The reduction has been delayed by 2 months until 1st June to assist the retailers 44 aligned farmers. From June 1st the M&S standard liquid litre price will reduce to a very healthy 31.72ppl. (source – www.milkprices.com)

07/05/20

0.5ppl milk price reduction for Wensley Dale Creamery (Cheese) from May 1st

This results in a manufacturing standard litre price of 27.25ppl and based on a liquid standard litre 26.3ppl.

07/05/20

0.5ppl milk price cut for suppliers to Dale Farm Cumbria from May 1st

This results in a liquid standard litre price of 25.14ppl.

07/05/20

First Milk (Cheese) Stand on/hold its member milk price until at least 1st July

This maintains members manufacturing standard litre milk price at 27.63ppl and based on a liquid standard litre 26.75ppl.

07/05/20

Belton Farm (cheese) to stand on/hold its producer price until at least 1st July

This results in a manufacturing standard litre price of 27ppl and based on a liquid standard litre 26.25ppl.

07/05/20

0.43ppl milk price increase for the Co-ops aligned suppliers from May 1st

This results in a liquid standard litre price of 29.82ppl (Source – www.milkprice.com)

07/05/20

0.8% reduction in GDT average

Tuesday’s GDT auction saw the average all products index reduce by 0.8% to average US $2866 tonne. Notable price movements were: Cheddar down 6.8% to average $4115 tonne. Butter down 5.8%to average $3867 tonne. SMP down 0.1% to average $2373 tonne. WMP up 0.1% to average $2745 tonne.

07/05/20

Starbucks cut ties with Freshways with immediate effect

When Starbucks coffee shops re open it will no longer be using Freshways milk having this week decided it will source from Arla in future. The fact this change of milk supplier has taken place so suddenly is unheard of. Note some Starbucks franchisees will continue to use locally sourced milk. On the 22nd April this bulletin highlighted the eyebrow raising treatment of and questionable communication by Freshways to its loyal supplying farmers, and how for three consecutive weeks this had attracted the attention of numerous press, most notably The Daily Mail which savaged and discredited its owner Bali Nijjar in a way that no dairy company senior executive has been savaged before.

07/05/20

£1 million milk promotion is launched

AHDB Dairy UK and Government have joined forces and launched a 12 week milk marketing iniative to boost milk consumption and sales of dairy to UK consumers. Its funded by AHDB, Dairy UK, DEFRA, Scottish Government, Welsh Government and the Northern Ireland Executive. The promotion starts next week and the contributions are £500,000 from the four governments, £300,000 from Dairy UK’s processor members and £200,000 from farmer levy board AHDB.

07/05/20

Hardship fund of up to £10,000 per dairy farm in England available

The fund is to help English Dairy farmers who have been hit hardest by Coronavirus e.g. Freshways and Medina suppliers and a few others. The cornerstone is for the money to go to those most in need of financial help with the target to cover up to 70% of their lost income in April and May. The lower 25% threshold to qualify and access the funding means producers must have lost a minimum of 25% of their income in April and May due to Covid19 disruptions.

01/05/20

1ppl milk price reduction for Meadow Foods suppliers in Cheshire, Shropshire, Staffordshire, Derbyshire and North Wales – from 1st May (today)

This reduces producers standard liquid litre price to 25ppl for their A volume milk.

01/05/20

2ppl milk price reduction for Glanbia Cheese suppliers – from 1st May (today)

This reduces producers standard manufacturing litre price to 25ppl and based on a standard liquid litre 24.17ppl.