First Milk increases milk prices for July
© Tim Scrivener First Milk members will see a 0.5p/litre price rise this month on their A litre allocations.
This will take A litre prices to between 15.84p/litre and 17.39p/litre across the co-op’s four main milk pools.
All of this increase will come not from the milk market but as part of the 2p/litre performance bonus which First Milk pledged in spring that it would pay over the current milk year.
See also: First Milk producers vote on changing member loans to shares
The bonus is being paid as a result of the structural and other changes made at First Milk over the past year or so.
The first 0.25p/litre of this was paid in June.
The B litres price for July will rise by 2p/litre to 15.1p/litre as a result of market improvements, with the spot milk price now in the region of 20p/litre.
A spokesman said that the B litre price was also looking “very positive” for August.
First Milk A and B standard litre milk prices |
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|
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July 2016 |
|
|
Milk pool |
A p/litre |
B p/litre |
|
Haverfordwest |
17.39 |
15.1 |
|
Lake District |
16.46 |
15.1 |
|
Scottish Mainland |
16.38 |
15.1 |
|
Midlands |
15.84 |
15.1 |
Direct Milk
At producer organisation (PO) Direct Milk DPO, whose members send milk to Muller following their transfer from Dairy Crest, there will be no change in price for August on standard litre and organic prices.
The PO said in a newsletter to members that if improvements in dairy commodity markets were sustained, there should be farmgate price benefits further ahead.