Arla surprises with considerably lower milk price in January

The January milk price paid to the Dutch members of Arla falls by €1,11 to €31,20 per 100 kilos, calculated at 4,42% fat and 3,57% protein based on an annual supply of 1 million kilos. . Including bonuses for vlog, grazing and climate, the payout price can rise to € 34,87 per 100 kilos.

Deviates from trend
The downward movement is surprising, because the trend in milk prices has been stable to slightly increasing in recent months. This is clearly reflected in the milk price comparator van Boerenbusiness. Although the corona virus still dominates the European dairy market, prices for cheese, milk powder and butter have been under little or no pressure in recent weeks. 

Corona, Brexit and more milk
Still, Arla, which is known to be relatively stable, has decided to lower the payout prices for January. Through Arthur Fearnall, one of the British directors of the cooperative, Arla expresses concern about the growing milk supply in Europe. Added to this is the uncertainty surrounding the (probably) hard Brexit. Not only conventional, but also organic dairy sales are affected by this. Organic milk prices also fall as a result.