News Guaranteed price
New Year's hangover for guaranteed price RFC
FrieslandCampina has announced what the guaranteed price for January 2020 will be. With a decrease of €0,66, the price amounts to €35,75 per 100 kg of milk. Organic dairy farmers fared better this time with an increase of €2,75, after a significant drop last month.
With this announcement, FrieslandCampina is kicking off the year with a guaranteed price that is lower than in January 2018 and 2019. The guaranteed price is €0,66 lower than the guaranteed price of December 2019 (€36,41). The price remains just above the annual average of € 35,66. FrieslandCampina states that the actual decrease is €0,10, as a correction of €0,56 took place last month. The correction of the previous month is a reaction to the underestimated milk prices of the reference companies.
The guaranteed price applies to milk with 3,57% protein, 4,41% fat and 4,53% lactose per 100 kg of milk, excluding VAT and with an average annual supply of 850.000 kilos. The protein value, fat value and lactose value all start to decrease. Per 100 kg of milk, the protein value drops sharply from €594,35 to €574,02, the fat value drops from €297,18 to €287,01 and the lactose value goes from €59,44 to €57,40.
Organic price starts to rise
The organic guaranteed price for January is going up. As a result, the guaranteed price of January 2020 is higher than that of January 2019. This price increases by €2,76 compared to last month's price (€45,74), to €48,50. The actual increase here is scaled to $0,75, as there was a correction of -$2,01 last month. With this price increase, the guaranteed price of January 2020 is head and shoulders above the average guaranteed price for 2019 of € 46,80. The organic guaranteed price uses the same standard contents of protein, fat and lactose as mentioned above.
The protein, fat and lactose value per 100 kg have also all increased significantly. The protein value increases from €746,65 to €778,74, the fat value increases from €373,33 to €389,37 and the lactose value from €74,67 to €77,87
In Milk price comparator van Boerenbusiness FrieslandCampina is traditionally the first to announce the price of the new month. If we convert this price to the standard values, the dairy group's bare milk price comes out at €35,75 per 100 kilos (4,41% fat, 3,57% protein and an annual supply of 1 million kilos). This is €0,66 lower than in the previous month.
Calculate the milk prices of the processors yourself based on the fat and protein contents and annual delivery of your company? Click here to go to the Milk price comparator and discover the differences. This comparator is part of the Milk & Feed Pro subscription and you can try it for free for a limited time.
Jorine Cosse
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