ARLA FOODS’ on-account prices for conventional milk and organic milk price will remain unchanged for September 2020, the farmer-owned co-op has confirmed.

This means Arla’s manufacturing price for conventional milk will remain at 29.26 pence per litre and the organic price at 37.62 pence per litre, for farmer owners who have completed their Arlagarden and Climate Check data,.

Arla Foods amba board director, and farmer owner, Arthur Fearnall, said: “As anticipated, the commodity market has been relatively quiet during the summer as demand has stabilised following the initial rush of re-stocking. The gains on the GDT auction during July have reversed and prices have now returned to the levels of late June. Both the conventional and organic markets remain hesitant as they wait to see how the full economic impact of COVID-19 lockdowns starts to unfold, however the current outlook remains stable.”

Agriculture director for Arla in the UK, Graham Wilkinson, added: “As we all adapt to the new norms of COVID-19 I have admired the adaptability of our colleagues and our farmers to put each other’s safety and wellbeing first. I’ve also been delighted to see our farmer owners remain focused on sustainability by completing the entries and continuing the auditing of both their Climate Checks and ArlaGarden data.

"In doing so, our farmer owners are helping put Arla in a strong position as we continue to develop the right propositions for our customers given both food quality and sustainability remain high on the consumer agenda.”

Arla farmers are paid on constituents via a manufacturing schedule. For ease of comparison, the liquid price is 28.17 pence per litre based on 4% fat and 3.3% protein, while the manufacturing price is based on every other day collection, top quality, one million litres, at 4.2% butterfat, 3.4% protein.