6 December 1996

Milk prices simplified

THE MILK Group is reducing its standard litre price, simplifying its seasonality arrangements and paying out a mid-season bonus.

Constituent values are being cut by 3.85% to give a new standard of 25p/litre, based on 4.1% butterfat and 3.3% protein. And the group is also focussing its seasonality schedule to just four months, with April and May deliveries reduced by 3p and 3.5p/litre, respectively, and July and August milk attracting a similar level of bonus.

Milk cheques for November deliveries will, therefore, see a 1p/litre cut in the standard price, partly offset by not having to pay the 0.7p/litre seasonality deduction.

December payments will also include a 0.2p/litre bonus for deliveries made during the first six months of this milk year.