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Strong Support From UK Farmers to Become Co-owners of Arla Foods

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Strong Support From UK Farmers to Become Co-owners of Arla Foods

Strong Support From UK Farmers to Become Co-owners of Arla Foods
November 21
08:30 2013

Eighty five per cent of Arla Foods Milk Partnership (AFMP) farmers have already signed up to become co-owners of Arla Foods amba, making the long-standing vision of AFMP to become full owners of the European farmer-owned co-operative a reality.

Jonathan Ovens, chairman of AFMP, comments: “The farmer board is absolutely delighted that so many members have committed to becoming co-owners. This says that members and the board have the same vision to share in the success ofEurope’s largest dairy co-operative and demonstrates democracy in action, with each of the 1,300 AFMP members being given a choice of contracts.

“Arla is a business owned by farmers for the benefit of farmers and from 1 January 2014 they will get the security of a milk price, determined by European and world markets. The cooperative’s track record and determination to continue to develop on the global stage leaves me in no doubt that we have made the right decision, particularly in light of post milk quota abolition in 2015.”

Ash Amirahmadi, head of Arla UK milk and member services, adds: “Arla is now able to open up ownership to a limited number of British dairy farmers, who currently do not supply Arla UK. I would urge farmers interested in becoming owners of the European dairy co-operative to register their interest with immediate effect.”

The deadline for all farmers to have signed a new contract to become co-owners is 30 November 2013, prior to full co-operative membership commencing on 1 January 2014.

AFMP members who chose not to become co-owners have, in the main, signed a direct supply contract with the Arla business in the UK and will receive a milk price linked to the UK market.

Arla Foods is home to some of the UK’s leading dairy brands including Cravendale, Lurpak, Castello, Lactofree and Anchor. The co-operative processes 3.2 billion litres of milk a year and has a turnover of approximatey £2 billion.

Arla is the UK’s number one dairy company, by turnover and milk pool, and is the largest supplier of both butter and spreads, and manufacturer of cheese in the country. The company has a 26 per cent share of the GB milk pool.

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