Belgian LDA raises milk price further

The standard milk price for January at LDA is €44,00 per 100 litres. This equates to a price at real contents (4,2% fat and 3,4% protein) of €46,70 per 100 litres, with an annual supply of 1,3 million litres. The comparable price at Milcobel and A-ware is successively €45,50 and €45,20 per 100 litres. Milcobel increased by 30 cents per 100 litres, A-ware stepped back (but increased by almost €2,70 for February). Arla also increased by €1,00 per 100 liters for January, but lags behind the aforementioned three processors by a few euros per 100 liters.

As can be seen from the chart, Arla and Royal A-ware always announce their milk prices early in the month. Milcobel comes a few weeks later, while LDA announces the milk price afterwards.

Huge price increases
It is striking that Milcobel and also LDA have increased their milk prices very much in one year. Milcobel started 2021 with a real milk price of €31,10 per 100 liters and pays €15,40 more a year later, which amounts to an increase of almost 50%. LDA has also significantly increased the milk price, from €33,20 to €46,70 per 100 litres, 40% more. The increases at A-ware and also Arla seem less spectacular, but the first company in particular only paid the first Belgian milk price in June.

A true effect
The A-true effect on the Belgian market started much earlier, because the takeover of the factory in Aalter was announced at the end of 2020. This also made it clear that A-ware would become active on the Belgian market and wanted to recruit its own dairy farmers. In addition to the rising dairy market, this also had a price-increasing effect in Belgian dairy farming.