Inside: Dairy Market
Vreugdenhil raises price for milk fat
Vreugdenhil Dairy Foods increases the value of milk fat, but this step cannot help the milk price. This is because protein is becoming cheaper and that decrease weighs the most. This means that the milk price will fall for the fourth month in a row.
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Vreugdenhil translates the pluses in the butter market for March into a small increase in the fat price. This increases from € 2,90 per kilo to € 3 per kilo. That plus goes beyond the protein. There the price drops back to €5,40 per kilo, a minus of €0,60 per kilo.
Milk price falling
If the plus is in fat and the minus in protein, the milk price drops to €30,31 per 100 kilos (with a delivery of 600.000 kilos of milk, with 4,41% fat and 3,47% protein). It means a minus of €1,34. In total, the milk price has lost €11,89 per 100 kilos since November.
With a delivery of 900.000 kilos of milk, the milk price is €30,69 per 100 kilos and a volume of 1,1 million kilos of milk translates into €30,86 per 100 kilos. The ZuivelNL levy and a quality bonus are included in the milk price, the price is exclusive of VAT.
Payment grazing changes
In total, a dairy farmer can achieve a premium of € 2,10 per 100 kilos from this processor. €1,50 of this can be earned with grazing and €0,60 with sustainability. From 2018, dairy farmers who use outdoor grazing will receive the monthly premium.
The milk price of Vreugdenhil over the past few months.