Milk price changes
Updated 7 January 2020
The latest publicly announced milk price changes as reported by the processors.
Most milk buyers have announced no change to contract prices in January. However, there were a handful of buyers who announced price reductions; Arla Farmers Manufacturing contract reported a 0.15ppl decline as result of currency smoothing, while Sainsbury’s contracts announced a reduction of 0.19ppl following their latest quarterly cost review.
Looking ahead to February, the announced changes are more mixed. Several buyers, including Barbers, Crediton Dairy and Müller Direct have announced a hold to contract prices. Meanwhile, a handful of buyers have announced price declines; Saputo dairy is dropping by 0.70ppl following 12-months of stable prices and Tesco has announced a 0.26ppl reduction as a result of lower input costs. Conversely, the Müller Co-operative announced a marginal increase of 0.01ppl.
Overall milk market values (MMV) have been remarkably stable through 2019, despite the uncertainty around Brexit, trade and weather conditions. Within the overall value of milk, in general, we’ve seen fat values falling through the year and skimmed values increasing. At the same time, Cheddar prices have remained relatively unchanged. Farmgate milk prices have, in general, reflected the market stability through the year, and continue to do so. There are, however, some exceptions, with the pressure on liquid milk market margins, specific trade challenges for individual companies and concern over the future trading arrangements post Brexit. All of those pressures and uncertainties still impact the industry as we move into the New Year.
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.