Bulla told its suppliers last night the opening prices would increase 20 cents a kilogram of milk solids.
This means the opening price ranges from $5.80 a kilogram of milk solids to $6.20/kgMS depending on when the milk is supplied during the season.
“After providing an early opening price in April we have now completed our budget process and reviewed the current market outlook,” a supplier letter signed by Bulla Dairy Foods general manager dairy Rohan Davies said.
It first announced an opening price almost eight weeks ago when negotiations with its milk suppliers, Australian Dairy Farmers Corporation, broke down.
This is the first time it has sourced its own milk from dairy farmers.
The Bulla price does not include a stop charge, volume charge or collection fee, the protein to butterfat ratio is 2:1 and the reference solids are 4 per cent butterfat and 3.2 per cent protein.
By: SIMONE SMITH
Source: The Weekly Times