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DOC Kaas will offer a climate allowance from 2024

19 December 2023 - Wouter Baan

DOC Kaas will introduce a climate surcharge on top of the standard milk price from 2024. The dairy cooperative from Hoogeveen wants to respond to social developments on this theme. The milk price will also be published later from now on.

The climate allowance amounts to a maximum of €0,50 per 100 kilos of milk. Dairy farmers receive this when they achieve emissions of up to 1.150 grams of CO2 equivalent per kilo of measured milk on their farm, says strategy director Geert Hartlief of DOC Kaas. For emissions of up to 1.250 grams of CO2 equivalent, the surcharge is €0,25. "In addition to responding to social developments, we also signal that the market demands this." The surcharge is reimbursed from the fixed deduction.

Milk price published later
Another change from 2024 is that the grazing allowance will be reduced: from €1,75 to €1,50 per 100 kilos of milk. The cooperative also reports that from now on the milk price will no longer be published on the last working day of the month (before the new month). From 2024, the publication moment will shift to the sixteenth day of the current month. “This allows us to respond more accurately to market developments,” says Hartlief.

Milk flow with Jumbo
DOC Kaas is also working on a new sustainable milk flow with supermarket chain Jumbo and Uniekaas Holland. This program focuses on five themes: animal health and welfare, climate, land use and environment, biodiversity and general, as DOC Kaas previously reported. A maximum sustainability premium of €5 per 100 kilos of milk is linked to the milk flow. The launch is planned for the first half of 2024, Hartlief said.

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Wouter Job

Wouter Baan is Head of Meat & Dairy at BoerenbusinessAt DCA Market Intelligence, he focuses on dairy, pork, and meat markets. He also monitors (business) developments within agribusiness and interviews CEOs and policymakers.

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