Milk price changes

Updated 1 June 2022

The latest publicly announced milk price changes as reported by the processors.

Overview

It seems the lack of any turnaround in milk production has kept the pressure on processors to push up farmgate milk prices. With only a few exceptions, most of the key milk buyers included on the AHDB league table announced further price increases for June. Some have already announced for July.

As noted by Arla in their latest announcement, the recent price increases seem to be all about keeping farmer confidence supported in order to keep the milk flowing. The peak for GB milk production was reached on 8 May, 2.5% lower than last year’s peak and the lowest for 6 years. Despite milk prices increasing by over 8ppl on average between January and May, there has been no noticeable increase in milk production.

The price increases announced on market-related contracts for June ranged from 1.25ppl to 5.00ppl, with most contracts on the AHDB league table recording a price increase for the month. For the most part, those not increasing prices in June are increasing prices in July.

The increases were slightly lower on average in June than in May, with most increases between 1.5ppl and 2.5ppl. Saputo increased its June price by 5.0ppl, although this was following relatively low increases for Feb, Mar and May (0.75ppl, 0.25ppl and 0.75ppl respectively). Barbers upped its price by 2.75ppl in June, while Wensleydale Creameries announced an increase of 3.55ppl. Arla UK members will receive an additional 4.49ppl in June, with a similar increase for its direct suppliers delayed a month to 1 July.

Price increases on aligned liquid contracts were lower, ranging from 0.75ppl to 1.78ppl. Tesco adjusted its cost-of-production base up by 0.75ppl, Sainsburys by 0.94ppl and in line with these increases, the Co-operative Dairy Group price moved up by 1.07ppl. According to milkprices.com, there has also been a last-minute price increase of 3.1ppl for June for the Waitrose milk pool.

A handful of buyers have announced price increases for July, including the increase for the Arla direct suppliers mentioned above. Other announcements of July price increases at the time of publication include a 3.1ppl increase for Barbers and 4.0ppl for both Freshways and Grahams’ Dairies. Suppliers to South Caernarfon Creameries and the Müller non-aligned milk pool will receive 4.5ppl from July.

Announced milk price changes to June 2022 can be downloaded below.

Additional information

The milk price changes may not be fully reflected in the AHDB League Table.

Download dataset

Latest milk price changes

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