More processors announce milk price cuts for May

Dairy farmers supplying Muller, Freshways, Saputo, Glanbia and Barbers will all receive lower milk prices as the industry approaches the annual “spring flush” and peak production.

Weaker wholesale markets and a large availability of milk are reported to be driving the cuts.

Muller producers will receive a May price of 40p/litre for a standard liquid litre of 4% butterfat and 3.3% protein, including its 1p/litre advantage premium.

See also: Huge milk price drop to below 40p/litre for Arla farmers in April

Richard Collins, head of agriculture at Muller, said: “With ongoing market pressures we must reduce the price we pay to our supplying farmers by 2.5p/litre. Millions of people buy our dairy products every day and we remain committed to paying a competitive milk price and ensuring security of supply.”

Barbers will pay its producers 39.1p/litre in May for a standard manufacturing litre of 4.2% butterfat and 3.4% protein.

The cheesemaker told its producers that improvements in dairy market values reflected in the futures markets last month had evaporated during March, and milk production levels continued to outpace demand.

Dairy farmers supplying Saputo will see prices fall by 2.5p/litre to 40p/litre for May (for a manufacturing litre), while those supplying Glanbia will be subject to a 4.75p/litre price cut to 34p/litre, according to milkprices.com.

Freshways is standing on with a May milk price of 41p/litre for a standard liquid litre.