Can't get Arla milk price out of place

Not often in recent history has the milk price remained stable for such a long period. The payment price is derived from the dairy market and has been quite stable for a long time. Although the price of butter has been markedly depreciated in recent months, this is compensated for by higher prices for skimmed milk powder, according to Arla.

In addition, cheese prices have been moving stable for weeks, although the market has the direction this week down smashed. Prices for whole milk powder have also weakened somewhat as New Zealand starts to get more into the season.

The same amount of milk in Europe
Arla notes that the milk supply in Europe is virtually the same as last year. Major differences are visible between the countries in which the dairy cooperative is active. There has been a (slight) increase in home country Denmark, Belgium and the United Kingdom, while in the Netherlands and Germany there is less milk to process. However, in our country, Arla, with around 100 dairy farmers, is a fairly small player.

In the Netherlands, FrieslandCampina will announce the guaranteed price for the month of September on Monday, August 26. For August the price is €35 per 100 kilos. The guaranteed price is based on approximately 10% of Arla's milk price. Arla's stable change increases the chance that FrieslandCampina will also leave the milk price unchanged for the coming month.