Arla Foods is raising its milk price to owners by a further one eurocent per kilogramme from 1 February.
When the increase in the on-account price is applied to the UK standard litre, it equates to an upward movement of 0.76 pence, taking the liquid* price to 27.07 pence per litre and the manufacturing price to 28.16 pence per litre.
Commenting on the decision, Arla Foods amba board director, Johnnie Russell, said: “Markets in general remain strong, with good global demand. As a result of the mild winter, global milk supply is slightly above expectations, which is softening butterfat prices. Yellow cheese prices have also weakened across Europe over the last few weeks.
“This is the sixth consecutive increase in our price. Between September to date our price increases have delivered in the region of an additional £51 million of income to our British farmer owners and, in turn, the rural economy.”