The cooperative said the current market outlook remained stable although there was uncertainty in the UK from the Covid-19 pandemic
Arla has announced a 0.5ppl milk price increase for October 2020.
The Arla Foods’ on-account price for conventional and organic milk will increase by 0.5 euro cents per kilo, with the UK price recieving a boost from a 0.06p/kg quarterly currency adjustment.
Arla Foods’ on-account prices for conventional and organic milk will increase by 0.5 euro cents per kilo, from 1 October 2020. This month is also positively impacted by a 0.06 p/kg, quarterly currency adjustment bringing in a total increase to 0.50p/kg.
When applied to the manufacturing price, Arla’s conventional milk price will be 29.76ppl the organic price 38.12ppl for Arla’s farmer owners, up from 29.26ppl and 37.62ppl in September.
Arla Foods amba board director, and farmer owner, Arthur Fearnall, said: “Commodity market prices have remained relatively stable over the last few months, with the recent positive GDT more the result of contract prices for next year increasing to current market prices, rather than any general positive market development.
“The current market outlook remains stable.”
Graham Wilkinson, UK Agriculture director at Arla, added: “It is important to recognise that while the commodity markets overall remain relatively stable, as a nation we continue to navigate through the personal uncertainty surrounding Covid-19.
“Across Arla we have worked tirelessly throughout the pandemic to ensure we played our part in feeding the nation, from farm to fork.
“Right now, as we face in to toughening of personal restrictions once again, our contingency plans are in place and we are working hard to minimise any potential disruption for our customers.”