Arla Foods amba’s on account price for conventional milk price will remain the same for April 2019. However, this month it will be negatively impacted by a quarterly adjustment in the currency smoothing mechanism of 0.01pence per litre from 1 April 2019. When applied to the UK manufacturing price this will reduce Arla’s pence per litre to 30.23 pence for farmer owners.
Arla Foods, the UK’s biggest farmer-owned dairy company, has announced that its British owners will receive a total of £64m (70 million euros) as their 2018 year-end bonus from a European wide pay-out of £245 million (290 million euros).
Revenue from grocery retail and foodservice exceeds £2 billion for the first time in UK, as Arla brands in UK grow rapidly, particularly those associated with stronger health creds. UK farmers to benefit from Arla amba group decision to pay out entire net profit for 2018 to its farmer owners
Arla Foods amba’s conventional milk price for January 2019 will reduce by 1.5 eurocents per litre. When applied to the UK manufacturing litre, alongside the positive impact of the quarterly currency smoothing mechanism of 0.02 pence, this equates to 1.33 pence per litre, taking the manufacturing price per litre down to 30.24 pence from 1 January 2019 for Arla’s farmer owners.
The Arla Foods amba on-account price will reduce, with effect from 1 December 2018, by 1 eurocent per kg. When applied to the UK manufacturing litre it equates to a reduction of 0.89 pence per litre, taking the UK standard litre to 31.57 pence.
With ongoing volatility in the global milk markets, increasing consumer misunderstanding of the sector, polarised levels of support for UK dairy farmers and a new post-Brexit Agriculture Bill the challenges for dairy farmers are mounting. Today, the farmer-owned cooperative Arla Foods is launching ‘Arla UK 360’, a new standard in UK dairy farming with an approach to benefit everyone.