Milk Price Tracker

[farmer on a bike]

Incidentally the whole thing in my opinion is far too complicated, I don't know how the hell the farm liaison team explain in to potential producers thinking of joining. As is the milk statement, it is so difficult to try and work out what next months cheque is going to be. It desperately needs simplified.

I get what you are saying, I have made a spread sheet that calculates my prepayment and monthly payment each month, but it is not very easy to set up. It is all related to the desire for fairness based on paying for milk components plus the aim to get the money to farmers as quickly as possible, admittedly complicated by seasonality.

 

[farmer on a bike]

Many thanks you did get it right If you leave you give an interest free loan of £75k for 2years £50+K for3+years and £25+k for 5 years to be hoped you do not leave through ill health or in financial jeopardy.

Personally my reason for being an Arla owner is for the long term security until I retire. I am thinking about my return over the next 15 years. My capital account is for my retirement, or my son can buy me out eventually if he wants too.

If you are thinking about getting your money out and leaving as soon as you have joined, then Arla is not for you.

 

[coomoo]

Personally my reason for being an Arla owner is for the long term security until I retire. I am thinking about my return over the next 15 years. My capital account is for my retirement, or my son can buy me out eventually if he wants too.

If you are thinking about getting your money out and leaving as soon as you have joined, then Arla is not for you.

Snap, but over 30 years

 

[dinderleat]

Snap, but over 30 years

I don't know wether I want to laugh or cry thinking I've got another 30 odd years

 

[worker]

To answer the simple bit, the money is paid from Arla Amba as a formula. 3% of the gross income is held back, an amount equivalent to 4.5% of the performance price is reinvested (1/3 in individual capital and 2/3 in common capital) then the remainder is paid out as the 13th payment. The 13th payment is paid in relation to your payment for the year. So if the total money in Arla for 13th payment is £80m and you produced 1/10000 of the total paid to all producers, then you get £8000. However to add complication it does exclude the organic bonus from the calculation.

It is paid on 12th March to all paid up owners.

For ex- AFMP, the 13th payment goes to pay off the emerald debt company loan. This year almost all will be paid off, that means in future years the 13th payment will be paid to ex- AFMP members. However because some have expanded they will be owed money from this year and possibly even last year, whereas those who have not will still owe some money as part of the joining 7.5ppl on the base year.

I don't expect that is very clear but I have to admit it always makes my head hurt when we go through the detail at UKAF board so it is very difficult to explain simply.

Why is the whole of the organic price not taken into account in dividing the pot to be distributed?

 

[Chips]

Why is the whole of the organic price not taken into account in dividing the pot to be distributed?

I guess because it would mean the organic farmer would get a bigger 13th payment but without having invested anymore than the non organic . Going forward organic is going to completely separate from the conventional price and then I believe we will have a lower 13ht payment by way of percentage to ensure we end up with the same payment.

 

[endeavour]

The question I raised re capital input to Arla was in no way to detract from the collective Cooperative ethos ,but more to highlight that cooperation has some financial commitments not acceptable to all. So long as you are aware of those facts my belief is that the way forward is to be a member of a well run democratic Coop and supply constructive input throughout your membership, all success to all that venture down that road.

 

[Sid]

Going forward organic is going to completely separate from the conventional price

Thats going to be an interesting challenge as you have to admit it's been a rollercoaster that has seen money being added to and taken from the Arla and Dc/Muller organic pots. Does it mean organic will no longer have currency smoothing as it will be a UK price ( the European premium is a lot less)
Is the premium going to be on a similar par to the continent? They receive more support payments from their governments and a less market related pricing structure.

 

[cowgirl95]

How much is the Arla price rise going to be for March ?

 

[jockthethistle]

Arla. Seasonality could you sumarise in brief for me thanks ... Oh I'm an arla fan. thanks. jtt.

 

[Chips]

Arla. Seasonality could you sumarise in brief for me thanks ... Oh I'm an arla fan. thanks. jtt.

If you supply level you get paid level , if you are not level they only penalise/ reward on the extra litres (the bit people like ). Your core is set from Aug to Dec ( thats the bit most disagree with , should be Jan to Dec) . A bit is creamed off and repaid as volume bonus ( depending on personal volume you either like or dislike that ). All cash neutral to the UK

 

[rc mx110]

heard today county milk dropping 1ppl but not sure when????

 

[stablegirl]

Arla. Seasonality could you sumarise in brief for me thanks ... Oh I'm an arla fan. thanks. jtt.

1 Euro Cent.

 

[Scholsey]

heard today county milk dropping 1ppl but not sure when????

Sounds like dropping 1p/month til may/June so hopefully shouldn't go any lower than 25p but depends on how big a spring flush happens.

 

[Coo man]

1 Euro Cent.

Down or up ?

 

[coomoo]

Arla. Seasonality could you sumarise in brief for me thanks ... Oh I'm an arla fan. thanks. jtt.

Actually need to sit down to go through mine cos 13000 ltrs @ - 1.2ppl ain't great. January tho

 

[stablegirl]

1 euro cent up.

Just my guess!

 

[Had enough.com]

Sounds like dropping 1p/month til may/June so hopefully shouldn't go any lower than 25p but depends on how big a spring flush happens.

Where did you hear this?

 

[Scholsey]

Where did you hear this?

From County Milk, spoke to chap we deal with early last week.

 

[Sid]

Intervention stocks still not shifted! OUCH!