Arla Foods increases price paid to AFMP members

Arla Foods UK is to pay an additional 0.5ppl for milk supplied by members of its dedicated supply group, Arla Foods Milk Partnership (AFMP), from 1 June 2010, taking Arla’s standard litre price* to 24.5 pence.

Hanne Søndergaard, deputy chief executive of Arla Foods UK, commented: “Market projections suggest that commodity prices will continue to firm throughout 2010. This 0.5ppl increase on Arla’s standard litre is based on these predicted returns and is line with Arla’s objective of delivering a stable and competitive milk price.”

Commenting on the milk price increase, AFMP chairman, Jonathan Ovens, adds: "This increase follows a period of discussion between AFMP and Arla. The Partnership board will continue to monitor commodities and other factors affecting milk price on an ongoing basis."

* Arla’s standard litre is based on supplying 1 million litres at 4% butterfat, 3.3% protein and top bands of hygiene

Arla Foods UK plc is home to some of the UK’s leading dairy brands including Cravendale, Lurpak and Anchor. Processing approximately two billion litres of milk a year Arla continues to be one of the UK’s leading dairy companies and a supplier of fresh liquid milk and cream to the top seven retailers.

Over 2,500 daily deliveries are made directly to stores nationwide and Arla brands can be found across the dairy category. As well as the leader of the butter, spreads and margarine sector, and a major supplier of other added value products including flavoured milk and cheese, Arla continues to build working relationships with Arla Foods Milk Partnership, a unique group of dairy farmers, which supplies around 90 per cent of Arla's total milk requirements.

Behind this leading business is a team of circa 2,800 people across the UK located at our dairies, distribution centres and head office.