Lower than expected global production and steady demand mean the price will be held from February 1.
This means that Arla’s conventional milk price will remain at 29.58ppl and organic milk 37.94ppl for Arla’s farmer owners.
Arla Foods amba board director, and farmer owner, Arthur Fearnall, said: “Global milk production has been slightly lower than expected.
“This alongside steady demand, the completion of a Brexit deal and the continuing Covid-19 situation, has meant that commodity and organic markets have been kept stable as we enter the new year and the outlook also remains stable.”
Alice Swift, UK agriculture director at Arla continued: “The initial impact on consumer demand as this latest coronavirus lockdown was announced has now stabilised.
“As the country continues through its third lockdown the wellbeing and safety of our colleagues across our sites continues to be our priority. It is these teams, alongside our farmer owners, who are working tirelessly to ensure that we continue to deliver for our customers and feed the nation during these times.”
Arla farmers are paid on constituents via a manufacturing schedule. For ease of comparison, the liquid price is 28.50 pence per litre based on four percent fat and 3.3 percent protein.
Manufacturing price based on every other day collection, top quality, one million litres,4.2 per cent butterfat, 3.4 per cent protein.
Arla on-account prices for conventional and organic milk decreased by 1.2 euro cents per kilo this month.
