Arla increases price
Published 09 May 2007

Arla Foods UK has announced a 0.4ppl increase in the milk price paid to members of its dedicated supply group, Arla Foods Milk Partnership from 1 June. This increase is in addition to the 1ppl increase from 1 April. In addition, the company has said that around 60% of the members of AFMP will see further price increases in August as a result of the supply relationships with Asda and Tesco.

The latest increase is said to come about following a review of the company's pricing strategy and the continuing strength of the commodity market, which has meant that although the company started the current half year with a deficit, that deficit will have cleared by the end of May.