Arla Foods amba confirms December milk price
The Arla on-account price for conventional and organic milk will increase by 3.0 euro cents per kilo from 1 December 2021. This means that when applied to the standard manufacturing litre, Arla’s conventional milk price will increase to 36.68 ppl and 44.13 ppl for organic.
Arla Foods amba board director, and farmer owner, Arthur Fearnall, said: “Pricing for all EU dairy commodities, especially butter, has continued the strong positive development in October.
According to the retainment policy approved by the Board of Representatives in October 2021, the supplementary payment from the financial year 2021 is guaranteed at a minimum 1.5 €c/kg, while the consolidation is reduced to a maximum of 1.0 €c/kg.”
Ash Amirahmadi, managing director for Arla Foods UK, comments, “This record level of farmgate price increase is needed at a time of significant inflationary pressure impacting on-farm costs and milk production. We are working closely with our customers to secure the continuity of supply to meet demand leading up to Christmas as well as a continued supply of sustainable dairy into 2022 and beyond.”
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Notes to editors
- Arla farmers are paid on constituents via a manufacturing schedule. For ease of comparison, the liquid price is 35.29 pence per litre based on 4% fat and 3.3% protein.
- Manufacturing price based on every other day collection, top quality, one million litres, 4.2% butterfat, 3.4% protein.