Milk quota prices still tumbling

By FWi staff

MILK quota prices have fallen again this week.

Many would-be lessees are convinced that the UK will not meet quota this year. Bidding for supplies has virtually stopped, reports Townsends Mark Tyson.

Some recent auctions have been abandoned; others have seen quota leased out at 2-2.5ppl. “This more than anything has caused the price to slump further.”

The first weekly production figure produced by the Intervention Board this year has added to the pressure, suggesting October output will not meet quota.

Peter Weston Davies of the Farm Consultancy Group says; “Weve found a range of butterfats, from 3.6-4.09%, at 2ppl.”

Clean sales quota is down by about 1p to 18ppl.