Arla keeps milk price the same in November

For Dutch dairy farmers, the fat price for November is €4,26 per kilo. The price of protein remains at €4,70 per kilo. With an annual supply of 600.000 kilos of milk, the basic milk price is €33,65 per 100 kilos. At Arla, bonuses can be earned for, among other things, grazing (€1) and quality (€1,30) per 100 kilos of milk.

The milk price for November in the UK remains at 32,47 pence (4,2% fat and 3,4% protein, for an annual supply of 1 million kilos of milk or more). Approximately 2.500 of the more than 11.000 dairy farmers affiliated with Arla are British.

Stable trend
Compared to dairies, Arla's milk price is often announced first and can therefore be seen as a trend setter. The trend for the coming month will therefore be stable. Despite the stable mutation, Arla speaks of increasing pressure on the price of dairy products (cream and butter).

According to Arla director Johnnie Russel, this summer's persistent drought has so far had little effect on milk supply. This statement is somewhat striking, because the European milk supply for August (13,068 million tons) is 0,1% lower compared to the same month in 2017. This shows that the milk supply Europe has seen a decline for the first time since February 2017. On other continents rises the milk supply is.

Danish milk supply significantly higher 
In Denmark, where Arla is heavily represented, milk supplies increased in August, remarkably, with 23.000 tons (+5,1%). This means that the declining milk supply will probably hit Arla less hard.