By FWi Staff
MILK Link has announced a 0.3p/litre rise in milk price for September, which will be paid for by lower transport costs.
Part of the increase relates to a new volume bonus, effective from Sept 1, which reflects savings from collecting larger amounts of milk.
The standard adjustment will be reduced from 13.50 a day to 11.50. Bonuses will be nil for up to 999 litres a day, and 0.1p/litre for each 1000 litres above that, to a maximum of 0.8p/litre. The average volume produced by Milk Link members is 1300 litres a day.
Another big contributor to the rise will be the 0.1 to 0.2p/litre saving by reorganising transport in Devon.
“We cannot predict exactly what those savings will be until the new contracts for October onwards are finalised in late September,” says company secretary, Karen Young.
Devon is the first part of Milk Links milk field to be fully rationalised. Next month, depots leased by Milk Link at Crediton and Torrington will be closed, leaving Gregorys depot at North Tawton to deal with mid and north Devon, and its Cullompton depot to cover east and south Devon.