Dale Farm raises June farm-gate milk price
The board of the UK’s largest farmer-owned dairy cooperative, Dale Farm, has agreed to increase its milk price for June supplies to 28.2p/L.
When added to the membership loyalty bonus of 0.3p/L, it means the co-op’s 1,300 members will receive a base price of 28.5p/L – up 1p/L on the price paid for June supplies.
Just two weeks ago, Dale Farm announced significant increases in profit, return on capital employed (ROCE) and turnover in its latest set of financial results.
For the year ending March 2018, group operating profit rose from £9.8 million to £12.1 million.
The news comes as a bonus for suppliers who up their level of production comes into force.
The processor’s new ‘Milk Production Incentive’ began on July 1, and will see producers paid an additional 3p/L for any litres produced above last year for the months of July through to March.
In euro terms, Dale Farm’s May price translates as 34c/L including VAT putting Dale Farm well ahead of major rival Lakeland Dairies for another month.
The Cavan based co-op announced earlier today it had decided to hold its base price at 31.78c/L including VAT for June milk supplies – the same base price that was paid in May.
Meanwhile, in Great Britain, some processors have even topped the 30p mark. Arla announced it had set its standard litre price to 30.50p/L – making it the highest in the UK for farm-gate milk price.