Updated 27 September 2021
The Actual Milk Price Equivalent (AMPE), Milk for Cheese Value Equivalent (MCVE) and Milk Market Value (MMV) provide general estimates on market returns and the current market value of milk. They are based on UK wholesale price movements and can be used to identify general market price trends. They are updated on a monthly basis.
- AMPE (Actual Milk Price Equivalent) is an indicator of the factory gate value of a litre of milk used for butter and skimmed milk powder
MCVE (Milk for Cheese Value Equivalent) ais an indicator of the factory gate value of a litre of milk used for mild Cheddar and whey powder/butter.
- MMV (Milk Market Value) is an indicator of the average market value of a litre of milk based on typical utilisation of milk in the UK.
Movements in the MMV correlate strongly with changes in farmgate milk prices in 3 months’ time.
The AMPE and MCVE calculations have been revised from August 2020 to take into account higher milk compositional quality, higher production costs and varying lactose powder prices. A summary of the changes is available to download below.
While we will report on the 2020 versions of the indicators as of 27 August 2020, the previous calculations (2014) can still be found in the spreadsheet available to download at the bottom of this page.
Please note that AMPE and MCVE calculations do not include the cost of transport of milk to the dairy.
According to a 2014 survey of members of Dairy UK, the range of transport costs that can be encountered in the UK dairy industry are from 0.9ppl to 4.8ppl. The lower limit typically applies to purchasers with compact milk fields with larger farmers, while purchasers with geographically dispersed milk fields and smaller, less accessible farmers pay up to 2.4ppl on average. For some individual collection routes that involve reloading costs, transport costs can be as high as 4.8ppl.
While AHDB seeks to ensure that the information contained on this webpage is accurate at the time of publication, no warranty is given in respect of the information and data provided. You are responsible for how you use the information. To the maximum extent permitted by law, AHDB accepts no liability for loss, damage or injury howsoever caused or suffered (including that caused by negligence) directly or indirectly in relation to the information or data provided in this publication.