Arla’s 2,500 UK producers will each receive a share of £31m on Friday (10 March) as they receive their annual 13th payment.
The farmer-owned co-operative’s supplementary payment, which is awarded in proportion to delivered milk volumes and based on company profit, will be worth an average of around £9,000 to each farmer-owner in England, Wales and Scotland.
Total payments to Arla’s 12,000 European dairy farmers amount to €124m (£107.4m), with a further €103m (£89.2m) of revenue being retained within the co-op as equity and capital for “strategic reinvestment”.
The co-op will pay £7m of the £31m into individual farmer saving accounts in order to accrue a lump sum that pays out should farmers wish to leave the industry.
Producers can choose to receive payments as a lump sum, or to add to their individual investment in the co-operative.
Bonuses are signed off by the 179 members of Arla’s Board of Representatives, 20 of whom are British.
“The 13th payment is one of many important benefits for farmer owners like me and is particularly welcome as we begin to come out of a difficult year,” said Arla Board director and dairy farmer Jonathan Ovens.
“It enables us to invest in our farms, and also save for the future.
Mr Ovens added, “It’s also reassuring that Arla promises to collect every drop of milk I produce at the Arla price.”