Press release -
Confirmation of the Arla Foods amba April milk price
The Arla Foods amba on-account price will reduce, with effect from 1 April, by one eurocent per kg.When applied to the UK standard litre it equates to a reduction of 0.75 pence.
April also sees a new quarter’s (January – March) average exchange rate being introduced to the pricing mechanism and this has a 0.19 pence per litre negative impact on the milk price.
The reduction, coupled with the impact of exchange rates, reduces the UK standard litre price for conventional milk down by 0.94 pence taking it to 20.87 pence.
The continued growth in milk production across Europe continues to have an impact on the imbalance between conventional milk supply and demand. This is continuing to put pressure on commodity and cheese markets which is having a knock-on effect across other markets.
Arla Foods amba Farmer Board Director, Jonathan Ovens, commented:“The milk price is definitely not at a level that anyone wants it to be, but the business is continuing to work hard to mitigate the negative effects of the hard-pressed global dairy market.
“We believe Arla has the right strategy to get through this, although the current situation is extreme for both Arla and everyone else in the global dairy market.”
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Arla Foods is a global dairy company and co-operative owned by 12,700 dairy farmers with circa 2,700 of whom are British.
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.
