Dairy Crest Direct formula price up 0.5p/litre

Dairy Crest Direct’s formula milk contract price will increase by 0.504p/litre to 31.199p/litre on 1 July.

The contract, which was launched in March this year, calculates a monthly milk price via a formula tracking five key costs: bulk cream, retail liquid milk (four pints), concentrates, fertiliser and red diesel.

The increased price came following a £4/t increase in concentrate feed costs, while increasing cream values continue to strongly influence the formula price, said the company.

“If all formula paramaters retain their current values for Datum’s June market review – cream is already reported to have increased in value so far during this month – then the next review will see the formula price exceed the July standard DC liquid price.”

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