Paynes Dairies’ milk price goes to 40p/litre from 1 May
© Tim Scrivener Yorkshire-based milk processor Paynes Dairies is set to increase its liquid standard litre price to 40p/litre in May.
The milk price is set to rise by 1p to 37p/litre in April, with a further 3p/litre lift in May, based on 4% butterfat and 3.3% protein.
This will make the dairy’s May 2022 price 13.5p/litre higher than in the same month last year.
See also: Video: How a dairy farmer cut concentrate costs by £30,000
More than 120 farms produce milk for Payne’s, totalling more than 480,000 litres a day.
Accounts
The business made a pre-tax profit of £1.19m for the year ending 30 April 2021 on a turnover of £97.66m.
Director Charles Payne said in the annual accounts that turnover had increased by 6%, principally due to a further increase in the customer base, resulting in higher packaged volumes which has also led to an increase in gross margin.
According to the directors’ report, price and volume volatility is a potential risk to the business, and the company continues to closely monitor costs.
Mr Payne said: “The directors expect the general level of activity in volume terms to remain constant in the forthcoming year and therefore expect the company to remain profitable in the future.”