Arla price hike

Arla’s price for conventional milk for UK farmer owners will increase by 1.50 pence per litre from 1 October, taking Arla’s manufacturing litre to 32.30 pence.

This is a result of a one eurocent increase in the on-account price coupled with the quarterly adjustment in the currency smoothing mechanism.

When applied to the UK standard conventional manufacturing litre, the increase in the on-account price equates to an upward movement of 0.84 pence, coupled with the positive impact of 0.66 pence due to the introduction of the new quarter’s (July to September) average exchange rate being introduced to the pricing mechanism.

Commenting on the decision to increase the price, Arla Foods amba board director, Johnnie Russell, said: “This is the fourth consecutive increase in Arla’s milk price, totalling 4.56 pence – a 16 per cent increase in our price since the beginning of July. The increase reflects the continued strength in the markets across Europe, particularly for fat-based products.”


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About The Author

John Swire - Editor of Agronomist and Arable Farmer as well as responsibility for the Agronomist and Arable Farmer and Farm Business websites. After 17 years milking cows on the family farm John started writing about agriculture in 1998 and has since written for a variety of publications and has developed a wide circle of contacts within the industry. When not working John is a season ticket holder at Stoke City and also of late has become a fitness freak, listing cycling, swimming and walking as his exercises of choice.