Earlier this week Arla released their milk price for August. The co-op is increasing its manufacturing milk price by 0.88ppl. This sees their August milk price for a standard litre move up to 31.38ppl. For a standard liquid litre the price has risen by 0.85ppl to give a liquid litre price of 30.16ppl.

Arla has put the increase down to continued hot weather which has impacted negatively on Arla’s European milk intake. The move comes as a surprise to some with a softening of global dairy markets in recent weeks. Last week’s Global Dairy Trade (GDT) auction saw prices down by 1.7%, off the back of a 5% fall in prices two weeks ago. The main drop was seen with butter prices which dropped by 8% to £3,762/t.

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In a positive move for the UK dairy industry, Crediton Dairy, based in England has committed to a milk price of at least 30ppl for the remainder of 2018.