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Arla increases March milk price

Arla Foods is raising its milk price to owners by 0.38ppl from March 1, taking the liquid price to 27.45ppl and the manufacturing price to 28.55ppl.

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Arla Foods amba board director Jonathan Ovens said it was the processor’s seventh consecutive price increase, saying markets ‘appeared to be stable’.

 

“Milk production in the EU is picking up in line with seasonal trends, although it is still significantly below 2016 volume. “In Oceania and South America milk production continues to decline but intake in the US is growing by about 2 per cent. Markets appear to be stable with continuing good demand, particularly in Asia.”

 

It came as the group released its results for last year. Overall revenue in the UK decreased from €2.5 billion (£2.1bn) in 2015 to €2.2bn (£1.9bn) last year, which it said was a direct result of lower global market prices and unfavourable exchange rates.

 

Tomas Pietrangeli, Arla Foods UK managing director, said he was conscious of the potential impact of Brexit.

 

"That is why we are working closely with the wider food and farming industry, and with Government, to try and maximise opportunities of Brexit, whilst mitigating potential risks," he said.

 

Mr Pietrangeli added the firm was confident for the future and highlighted increasing market share across most of its categories.


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