Arla
- Thread starter jade35
- Start date
frederick
Member
- Location
- south west
A
The main thing you need to know how arla is performing is the milk price it is paying
Arla uks accounts are simply a book keeping exercise and have no reflection on the overall performance of arla.
The main thing you need to know how arla is performing is the milk price it is paying
- Location
- South Molton
Paying too high a milk price is the quickest way to lose money! It's by far the biggest cost to any dairy business.
Keeping up with the Jones's is not an option.
Seems you have nothing to worry about.
Not even the increase in staff numbers even though they are going into a cost lowering exercise?
- Location
- South Molton
Are you an Arla supplier?Great.Thanks for clearing that up.
Chips
Member
- Location
- Shropshire
Sid , are you not on the nfu dairy board ? Surely you must know the nfu are campaigning for new code of conduct with clear formulas for how profit/risk is shared between supplier and processor and that Arla is already fully compliant with it's open transparent way in that it calculates milk price and profit. Arla will always make a pre decided profit with the rest paid out as one price across all regions , thus half it business will make a profit and half a loss by the law of average as we set the milk price into our business .As you will know you don't want to show big profits in a co-op and end up with big tax bills , far better to pay it out to farmers , so all your post shows is that we in the UK get a good deal by having one price across Europe , especially true at the current time when both our conventional and organic farmgate prices are #1
- Location
- South Molton
No I stood down
Not at the moment with the voluntary code as they give less than the calendar months notice of price changes.
Down from 1.6% to 1.1%. Has that changed then? When did that change?
What about in the past? No one is ever at the top all the time.
Question is who is leading the price rises and falls.
So you and every Arla member knows how much your their milk is sold for? Where it goes?
That is complete open transparency.
- Location
- South Molton
Omsco stated just after the vote to leave that it would have huge implications to anyone , especially those using equivilancy, making product before we even leave.
Chips
Member
- Location
- Shropshire
I think you'll find our rolling 12mths milk price looks pretty healthy too .
How we set our milk price is our business , if others choose to pin their price to it surely that is an issue for them and their processor not Arla, although if you're saying as an Omsco director you are going to match Arla's milk price I suspect you will have some very happy members
- Location
- South Molton
Maybe apart from the hiccup in the spring?
It is indeed your business but Arla is not compliant with the voluntary code. Coops can be if they wish to be , there is nothing to stop them.
Setting a price is almost as much about how much milk was supplied , where it was sold and for how much in the month previous as the month going forward.
Forward indication of our milk price has been relayed to members until March 2019.
Would we match Arlas price? No . Prefer to work on a (usually) stable milk price budget which the majority of member old and new seem to prefer.
farmer on a bike
Member
Arla is compliant with the code as you should well know, the code is clear that any co-op with a set pricing formulation does not have to give a month's notice.
The practical reason for this is that any co-op would need to hold more money in reserve, the further ahead it has to set it's price.
The profit target is set over the whole of Arla, so the sections in each country will vary in profit from year to year. Their will also be variations caused by transfers of incom, costs, debts and assets between each of companies that make up the Arla group to make best use of our money. The UK business for example includes the sale of Lurpak in the UK, but this income and purchase tells you nothing about the earnings from U.K. Arla owners.
- Location
- South Molton
I always understood from the sources I have spoken to that Arla was not compliant with the voluntary code due to not giving the correct notice period.
If I was incorrectly informed then I apologise.
OMSCo again I undestood give a months notice of any changes to comply with the same code and to be fair to members.
Pity that philosophy doesn't translate into what should be the highest milk price being paid out to producers.
- Location
- South Molton
betweenthelines
Member
- Location
- southwest