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'A weakening dairy market' - Meadow Foods drops September milk price by 1.75ppl

Meadow Foods has announced a 1.75ppl price from from September 1, taking their standard A litre milk price to 25ppl.

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Meadow Foods drops September milk price by 1.75ppl #teamdairy

The change will apply to the flat rate element on the price schedule.

 

Meadow highlighted this summer had been a period of ’record milk production’ with volumes at a 29 year high.

 

It said despite holding the price for the previous five months, the high milk volumes and reduced cream price – which has fallen significantly from £1.70 per kg at the start of the year to £1.25 per kilo, representing a 4.5ppl fall in the value of milk - meant this cannot be maintained.


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Mark Chantler, chief executive of Meadow Foods, said: “Despite holding our milk price over the past five months in a weakening dairy market, the pressure from unprecedentedly high milk volumes this year combined with the sharp fall in cream value has led to the adjustment in milk price.

 

“We will continue to monitor the market and the potential impact of Brexit, and hope that the market returns to a more positive balance swiftly.”

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