Inside: Dairy Market
Milk price Arla lives up to expectations
Arla lives up to expectations for the month of November. The prices of dairy products have been falling steadily in recent weeks. This increased the tension surrounding the milk price. What will the month of November bring?
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Arla presented a stable milk price on Friday, October 20. This means that the British milk price remains at £0,3230, equivalent to €0,36, per liter. The basic milk price for the Netherlands is €37,65 per 100 kilos of milk (at 4% fat and 3,4% protein). In October, the processor added €1 to the milk price. Usually take notes Dutch processors at 4,4% fat and 3,47% protein.
37,65
euro
"Since July, the milk price has had the opportunity to increase by 16%," explains Jonathan Ovens of the British division. "The dairy farmers owe the milk price to four increases in a row."
Pressure on prices
"We expect the milk supply to increase towards 2018. When this is linked to the increased activity on the world market by non-European players, it means that the market is more balanced. It puts pressure on European prices of dairy products. "
The fact that Arla has decided to keep the milk price stable is because prices have fallen. However, they are still at an all-time high.
Earn bounties
At Arla, dairy farmers get the opportunity to earn a premium on the milk price. This is achieved through logistical advantages, GMO-free feeding and various sustainability aspects.
£1= €1,1231