Milk Price Tracker

[Farmer Keith]

Unfortunatly in the UK at the moment we just have too much milk, and with half the country having been on 30p for the last 12 months and those farms busy expanding, the next time the next milk price crash happens it will be more savage than last time for us non-aligned producers.

As true as this is it’s nothing new, seem to of spent too many years on below average milk prices here, enjoying supplying Arla at the top of the market but well aware things can change oh so quickly. That’s in no way me gloating, just saying that this is a long game we’re all playing. Demand for dairy products globally is superb and our climate lends its self to below average production costs. Keep the faith

 

[frederick]

I Disagree with there being to much milk In the UK. What we need to do is exsport more value added products out of the uk. But the uk dairy industry has been obsessed with producing milk for bottling

Not sure it's been obsessed with bottling but in the last three years I think the uncertainty of brexit has made it very difficult to have the confidence to invest significantly in an export market.

The irish did have the confidence and have increased output by over 50%

 

[pappuller]

Well it would be easier than trying to do it in November, at least you can tip them out and just go for survival, where as in November if you cut everything out you'd just end up with no milk, and no milk for a long time until they calved back in again. If I was getting 6ppl there would be no labour bill, as I'd milk them myself the staff would have to go, they'd be a luxury I'd have to do without. I said RIDE it, by that I meant a couple of months, and yes at the end of it you'd have no staff, but you'd still be there, it either that or pack up. As it happens all our milkers were Irish, they all packed up and went home a couple of weeks ago as they had lock down, so I'm on my own.

your a better man than most if you think you could ride 2 months at 6ppl, anytime of the year, the commitments on any dairy farm are excessive any month. I would venture to say only a tiny proportion of dairy farmers would be able to ride it without taking on substantial extra debt. I know I couldn't do it without financial help.

 

[Milkcow365]

Sorry folks this is no April fool and certainly not fake news!
Spot markets are in absolute free fall. Heard of first loads of skim being dumped as of today. Spot milk price now 15ppl and lower delivered, 25tBSC price now trading £1kg to £1.10kg ex works.

Ffs

 

[Beef farmer]

 

[Beef farmer]

Sorry folks this is no April fool and certainly not fake news!
Spot markets are in absolute free fall. Heard of first loads of skim being dumped as of today. Spot milk price now 15ppl and lower delivered, 25tBSC price now trading £1kg to £1.10kg ex works.

Ffs

Fastest finger 1st again TM

 

[mwj]

They are dumping in the North East of the USA. Logistics and Covid virus has short term distribution in shambles. I am very sorry to see you folks are having problems also!

 

[dinderleat]

Not sure it's been obsessed with bottling but in the last three years I think the uncertainty of brexit has made it very difficult to have the confidence to invest significantly in an export market.

The irish did have the confidence and have increased output by over 50%

It’s more over the last 10years The uk are extremely well placed to a create high value high quality baby formula but we just sat back and let someone else do it.

 

[BELOWAVERAGE]

your a better man than most if you think you could ride 2 months at 6ppl, anytime of the year, the commitments on any dairy farm are excessive any month. I would venture to say only a tiny proportion of dairy farmers would be able to ride it without taking on substantial extra debt. I know I couldn't do it without financial help.

I'd say I most definutely wasn't in the same league as most of you on here, I'd be some where near the bottom of the pile, I wouldn't sleep at night at night if I had the machinery and equipment most of you have, total machinery and equipment owned here, milking parlour, david brown 995 with scraper and a dog.

 

[betweenthelines]

UK is a net importer of Dairy products.

Spot prices are totally irrelevant to ex farm prices

 

[frederick]

UK is a net importer of Dairy products.

Spot prices are totally irrelevant to ex farm prices

You do have a strange view of how the uk market works. Pensworths have lost majority of there market for milk. Dumping what's left in spot market. Spot return so bad that they can pay 25% of the milk cheque and are having to rely on the hope of a government loan that they will have to repay to pay the rest.

Low spot prices are bad news for everybody. Who knows spot price might get so bad that the govt or eu opens intervention and then we live with stock overhanging the market we all know how that worked out last time.
But it's alright as we are a net importer spot prices are irrelevant.

 

[betweenthelines]

Tell me what percentage of the daily ex-farm milk volume is traded on the spot market then? Do you think this affects the whole market?

 

[upnortheast]

As I mentioned a few days ago the cream market has fallen off the cliff. Worth (depending on who you talk to ) 2 - 4p litre on the milk price

 

[frederick]

Tell me what percentage of the daily ex-farm milk volume is traded on the spot market then? Do you think this affects the whole market?

1-5 % I expect
Yes it affects the sentiment of the whole market.

Just like NZ is a small proportion of all milk produced in the world but the gdt results have an important impact on how milk is priced

 

[Quasarasara]

All this and leading into a potential spike in supply off farm. Therefore more spot milk to deal with

 

[Coews4life]

Thank god Yew tree's 2nd drier is burning away taking alot of the food service milk out of the equation

 

[Quasarasara]

why is it on stream ? it will soak up the extra milk if it is but at what returns back to farm?

 

[Coews4life]

why is it on stream ? it will soak up the extra milk if it is but at what returns back to farm?

If cheap spot milk can be put through the drier and turned into a premium product with a shelf life, it will surely help underpin the yew tree farmers milk price

 

[Quasarasara]

That’s ok if powder goes straight out of the door, with the current climate when would this powder realise a premium price? what’s the fat going to be worth at today’s pricing. Milkprices.com says £1 to £1.10 kg

 

[Coews4life]

That’s ok if powder goes straight out of the door, with the current climate when would this powder realise a premium price? what’s the fat going to be worth at today’s pricing. Milkprices.com says £1 to £1.10 kg

Milkprices.com also says a load of skim milk has been dumped, I'd say powder is a premium over going down the drain ?