Arla Foods amba is maintaining its on-account milk price at 21.81 pence per litre, through March 2016, for its 12,700 owners, including around 2,700 from the UK.
Commenting on the situation, Ash Amirahmadi, head of milk and member services at Arla Foods UK, said: “The ongoing imbalance between conventional milk supply and demand is putting continued pressure on the on-farm economy, while the significant increase in production across northern Europe is resulting in higher cheese and ingredients stocks, resulting in sustained downward pressure on the markets.
“The GDT auction has also mirrored this with a downward trend. In contrast, the market for organic products, mainly in Europe, remains strong and organic milk continues to be in demand.”
Arla Foods is a global dairy company and co-operative owned by 12,700 dairy farmers.
Dating back to 1881, Arla’s purpose is to secure the highest value for its farmers’ milk, while creating opportunities for their growth. With production facilities in 11 countries and sales offices in a further 30, Arla is the world’s fifth largest dairy company and largest supplier of organic dairy products. Arla has a total of more than 18,000 colleagues and its products are sold under the well-known brands Arla®, Lurpak® and Castello® in more than 100 countries.
Arla Foods UK is the largest dairy company in the country and is home to leading dairy brands Anchor, Cravendale, and Lactofree. It has a turnover of £2.3 billion. As well as being number one in fresh liquid milk, butter, spreads and cream, Arla is the UK’s largest cheese manufacturer. It has also built the world’s largest fresh milk facility located at Aylesbury and has plans for it to be the first zero carbon site of its kind. The UK business has a team of approximately 3,500 colleagues located at its dairies, distribution centres and head office.