First Milk Inceases Milk Price For Farmers
British farmers dairy co-operative First Milk is increasing the standard litre price it pays to producers in its liquid milk pool by 2.6ppl and by 1.25ppl for producers in its balancing pool. The price increase of 2.6ppl for producers in First Milk’s liquid pool will lift their standard litre price to 28.65ppl. Producers in First Milk’s balancing pool will see their standard litre price move to 27.35ppl.
Due to the fact that increased returns from the marketplace will be staggered over October and November, the company will move the liquid pool price in two stages: 1ppl from 1st October and 1.6ppl from 1st November. The balancing price will also move in two stages: 0.5ppl from 1st October and 0.75ppl from 1st November.
As a result of a solid trading performance in the six months to March 2012, First Milk will also pay out a 3% return on members’ capital account balances in October.
When combined with the payment that members received in January (return on capital) and April (dividend payment), in 2012 alone First Milk is paying out a 9% return on investment for active and retired members. This equates to a return of £2,700 across the year for an average 1 million litre producer.
