Inside: Dairy Market
Arla raises milk price again for August
Dairy processor Arla raises the milk price again for the month of August. However, that increase is less than the month before.
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Arla's milk price for the month of August will be increased by €1 per 100 kilos of milk. That is Arla's international milk price, based on 4,20% fat and 3,40% protein. The increase may differ per country, as each country applies different conditions.
In July, Arla's milk price in the Netherlands amounted to €32,07 per 100 kilos delivered at 4,0% fat. At Arla you can also earn a grazing premium and an amount for quality and cells. Arla's increase is a signal that milk prices are picking up in August.
Lower inventories, high demand
Arla says that the current market is dominated by strong demand for dairy products and lower inventories of fat. This increases prices for products containing fat. Meanwhile, the protein market remains stable, but at a low level.
Dairy farmers in the United Kingdom can count on a gross plus of £0,81 per kilo. This brings the payout price against British standards to £29,98 per litre. British dairy farmers received cuts in June.