Milk price changes
Updated 9 July 2020
The latest publicly announced milk price changes as reported by the processors.
The majority of milk price changes announced for July were positive, although most contacts were unchanged on the month. From the companies in our milk price changes table (download below), there were four price rises which ranged between 0.21ppl to 1.00ppl. This included Pensworth Dairies, Dale Farm GB and both Arla and Muller contracts for Sainsbury’s.
In contrast, the Arla Manufacturing contract recorded a 0.63ppl decline for July, citing disrupted demand due to the pandemic.
Looking ahead to August, announced prices changes are more mixed. South Caernarfon Creameries have announced a rise of 0.75ppl following 9 months of stable prices. Wyke Farms announced a price rise (+1.00ppl), citing improved cream and butter prices, while Freshways confirmed a 1.00ppl increase to its ‘A’ milk price.
Several companies have announced a hold on prices until 1 September. This includes Saputo Dairy UK, Barber’s, First Milk and Muller Direct.
The Tesco aligned contracts saw a reduction of 0.08ppl following the latest quarterly cost tracker review
The impacts of requests from some processors to curb milk production is still evident in milk production figures. The gap in production between reducers and non-reducers continues to shrink, but the two groups do not yet appear to have aligned. At current trajectories, it is likely they will not align until late July or perhaps into August. As such, we have revised our milk production forecast for the 2020/21 season down to reflect this.
Please download the dataset below to view the most recently announced milk price changes.
The milk price changes may not be fully reflected in the AHDB League Table.