Meadow Foods has announced that it will be increasing its milk price by +0.50ppl from 1st August, taking their standard A litre milk price to 28.50ppl.  This positive price change will be added to the flat rate element of Meadow Food’s simple and straight forward price schedule, ensuring every producer benefits from it.

The decision to raise their milk price, for the fourth time this year, reflects the fact that dairy markets remain relatively strong. However, cream prices have softened by nearly 15% in recent weeks.  The company hopes to see the normal pattern of stronger cream prices return over the summer months.

The current spell of extremely hot and dry weather is now starting to effect milk production. With forecasters suggesting that this weather is set to continue throughout July, it has the potential to have a serious impact on milk supplies over the next few months and in to the winter.

Mark Chantler, Chief Executive at Meadow Foods, comments: “We’re pleased to be able to pass on to our farmers the continued improvements in the dairy market.  We will however continue to watch the situation closely and hope the normal pattern of stronger cream prices returns and that the continued hot weather does not go on to have to negative impact on production.”

Muller' standard litre milk price for August is to remain unchanged.

The price hold means the company’s 650 non-aligned Muller Direct producers will still receive 28p/litre for standard liquid litres.