Müller UK is increasing its standard milk price for April to 33.6p/litre, raising the stakes in the race for milk.
The price is a 1.1p/litre rise on the current 32.50p/litre. However, from next month the milk buyer is also withdrawing its 1p/litre bonus to new producers and to existing producers who increased supply during the previous year’s production.
Volume bonuses of up to 2.2p/litre are still available on top of the standard litre price. For example, those supplying 3,000 litres a day get a 0.1p/litre bonus, while the top bonus of 2.2p/litre is paid to those supplying 23,000 litres daily.
“While our 2013 recruitment and expansion incentive for new and existing producers was innovative and served its purpose very well, we want to continue to retain and attract new members in 2014 by further enhancing the simplicity of our proposition,” said Martin Armstrong, head of group milk supply for the Müller UK & Ireland Group.
“Our reputation for offering a competitive, clean, straightforward milk price with no deductions or balancing charges is the basis of our success in maintaining our supply base to the benefit of our customers, and building the Müller Wiseman Milk Group.”
As chairman of the Müller Wiseman Milk Group Board, Roddy Catto represents milk producers supplying the group. “This change to a higher standard litre price for all MWMG non-aligned farmers is down to the hard work of the board, good communication with Ronald Kers and his team and a shared ambition to ensure the Müller Wiseman Milk Group and the company continue to make rapid progress in the new milk year,” he said.
“While the majority of MWMG members earned an extra 1p/litre in the past year by increasing production, some were simply unable to achieve this through no fault of their own.
“We strongly endorse this change and the company’s desire to grow the milk group by offering farmers a competitive standard headline milk price which does what it says on the tin.“
Müller UK & Ireland Group has 19 UK and Ireland sites and employs almost 6,000 people in its four businesses units – Müller Dairy, Müller Wiseman Dairies, Müller Minsterley and TM Telford.
It processes and delivers about 30% of the fresh milk consumed in Britain and buys from more than 1,200 milk producers.