Muller ups price paid to dairy farmers by penny


The company, which is the main milk buyer in the north and north-east, increased its standard litre non-aligned price to 30p a litre on October 1.

The company said the 1p- a-litre price increase would affect its 700 Muller Direct farmers.

It said the price boost was a result of higher returns from markets for cream and butter.

Muller also said it had received “very healthy interest” from dairy farmers interested in signing up to its Muller Direct Futures Contract.

The new contract gives farmers the chance to agree a monthly price for up to 25% of their milk volume for up to 12 months ahead.

Muller agriculture director, Rob Hutchinson, said 35million litres were being made available in the first tranche of this contract, and two further options to sign up will be offered to farmers in January and April 2018.

He said: “These are positive developments for Muller Direct farmers.

“We are pleased with the response we have had to the steps we are taking to ensure that farmers who supply us have a competitive milk price and an increasing number of tools available to manage their businesses through the markets which we operate in.”

Meanwhile, First Milk increased its Scottish pool price by 1.1p to 28.59p a litre at the start of the month.

Chairman of the farmers’ co-op, Clive Sharpe, said he expected to deliver further increases based on the strengthening market and productivity improvements and efficiencies across the business. Vice-chairman Nigel Evans added: “Members will be particularly pleased to see that the business is improving its productivity and efficiency.”






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