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Milk price changes

Updated 5 March 2020

The latest publicly announced milk price changes as reported by the processors.

Overview

Milk price changes in the past couple of months have been mixed, and this has continued into March. The variability in price movements is in contrast to the stability suggested by our milk market value indicator (MMV). However, with fat and protein markets showing diverging price trends, individual company returns will be based on performance in the product markets in which they operate, ultimately determining the direction and size of change to farmgate prices.

In March, Arla announced a 0.90ppl (1 eurocent) increase to its manufacturing contract, citing strong commodity markets. This follows 14 consecutive months of stable prices, other than quarterly currency adjustments. Pensworth announced a price increase of 1ppl, although 0.5ppl is subject to agreeing to the company’s initiative on welfare standards from April onwards.  

In contrast, Crediton Dairy reported a drop of 1ppl in March, its first price adjustment since April 2019. Lower prices for cream, particularly at the end of last year, were cited at the reason for the decline. Saputo previously announced 0.5ppl reduction will take effect in March, although it has guaranteed this as a ‘floor’ for its producers until the end of June.

Looking ahead to April, only a handful of buyers have made announcements. Barbers, Belton Farm and Lactalis have all announced a hold on prices for April. Meanwhile, prices on the M&S contract is set for a 0.61ppl reduction, following five months of stable prices.  Sainsbury’s suppliers will also see a  price reduction in April, of 0.05ppl, as a result of its quarterly cost tracker review.

Please download the dataset below to view the most recently announced milk price changes.

Additional information

The milk price changes may not be fully reflected in the AHDB League Table.

Download dataset

Latest milk price changes