Arla Foods is raising its milk price to owners by two eurocents per kilogramme from 1 November. This follows increases in both September and October.
When the increase to the on-account price is applied to the UK standard litre, the increase is 1.49ppl, taking the conventional price to 23.14 pence.
Commenting on the decision, Arla Foods amba board director, Jonathan Ovens, said: “Milk production continues to decline in a number of markets, leading to further strengthening of prices in European markets, particularly with conventional milk, which has contributed to the Arla price increase.
“This is the third consecutive month that Arla has increased its milk price, resulting in an additional 4.09ppl since 1 September. While the price is still not where it should be to be sustainable, it is a further positive move for our farmer owners.”
Tomas Pietrangeli, managing director, Arla Foods UK, said: “We continue to work with our UK customers in a pragmatic way to secure the much needed market returns for our farmer owners. This involves remaining focussed on driving dairy consumption and value for consumers in our new Arla branded innovations Arla Skyr, Arla Protein, Arla Best of Both, and our existing successful brands Lurpak, Anchor, Cravendale and Castello.”