Arla Foods amba is reducing its global on-account milk price by €1.5 cents per kg, with effect from 7 July 2014, which when applied through the pricing mechanism, results in a reduction of 1.23ppl on Arla’s UK standard litre.
The reduction in the standard litre price, coupled with a slight increase in the forecast supplementary (13th) payment, of 0.04ppl, takes Arla’s UK standard litre price to 32.52p pence.
Commenting on the reduction, Ash Amirahmadi, Arla Foods UK’s head of milk and member services, said: "In previous months, Arla Foods amba has reported challenging global market conditions for dairy products and, generally speaking, this remains the case."
Arla Foods is a global dairy company and co-operative owned by 12,600 dairy farmers circa 2,800 of whom are British.
Dating back to 1881, Arla’s purpose is to secure the highest value for its farmers’ milk, while creating opportunities for their growth. With production facilities in 11 countries and sales offices in a further 30, Arla is the world’s sixth largest dairy company and largest supplier of organic dairy products. Arla has a total of more than 18,000 colleagues and its products are sold under the well-known brands Arla®, Lurpak® and Castello® in more than 100 countries.
Arla Foods UK is the largest dairy company in the country and is home to leading dairy brands Anchor, Cravendale, and Lactofree. It processes 3.5 billion litres of milk a year and has a turnover of £2.2 billion. As well as being number one in fresh liquid milk, butter, spreads and cream, Arla is the UK’s largest cheese manufacturer. It has also built the world’s largest fresh milk facility located at Aylesbury and has plans for it to be the first zero carbon site of its kind. The UK business has a team of approximately 4,000 colleagues located at its dairies, distribution centres and head office.
