Inside: Dairy Market
A-ware keeps drop milk price limited
Cheese maker Royal A-ware is lowering the milk price in February, but (in its own words) is limiting the decline.
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A-ware lowers the milk price in February by €2 per 100 kilos, compared to January. The milk price for February has been set at €37,50 per 100 kilos (with an annual supply of 1,1 million kilos of milk). Dairy farmers who deliver 800.000 kilos of milk annually are paid €0,50 less. These amounts are based on standard levels and include all premiums. A-ware charges a grazing premium of €1,25.
37,50
euro
Dairy farmers who supply the separate milk flow (cheese and other dairy products) from Albert Heijn will receive €2 per 100 kilos extra and in 2019 that will be €3 per 100 kilos.
Reduction
A-ware continues to (in its own words) remain at the top of the milk price payment, despite this reduction. They also stay in the trail of FrieslandCampina (RFC). According to A-ware, the distance to other processors is increasing.
A-ware does not rule out the possibility that RFC will make a price correction over February. The cheese maker estimates this based on its own calculations.
Ask for organic milk
A-ware keeps the price for organic milk unchanged at €53 per 100 kilos in February. The cheesemaker says that the demand for organic milk is strong and that it is also rising. The dairy also emphasizes that the premiums on top of the milk price are playing an increasingly important role.