UK – Dairy cooperative Arla has increased its on-account milk price by 0.5 eurocents, per kilo, meaning a lift of 38 pence per litre for UK suppliers.
However, the effect of the next quarter’s exchange rate mechanism, starting in October, has eroded the milk price increase to a small uplift of 0.03 pence.
Global sentiment has been improving in the dairy markets, said Arla’s head of UK Milk and Member Services, Ash Amirahmadi.
However, he stressed it was “too early” to confirm the dairy spiral was reversing.
Mr Amirahmadi said:“As a result of improvements through the supply chain, including recent developments in GDT auction prices, as well as initiatives from a number of our retail customers across Europe, our revenue has been positively impacted which is contributing to the first increase in Arla’s milk price for over six months.”
TheCattleSite News Desk