FrieslandCampina repeats June milk price change

FrieslandCampina has repeated the milk price adjustment made for June, reducing its milk price by another €0.25. The co-operative expects milk prices among its reference processors in North-West Europe to ease slightly in the coming period. The new guaranteed price for conventional milk for July is €41.25 per 100 kilograms. The guaranteed price for organic milk follows a different trend, increasing by €1.75 to €63.50 per 100 kilograms. According to FrieslandCampina, this increase reflects a correction for the previous period based on the milk prices of its reference processors in what remains a relatively stable market. The base milk price for conventional milk in the Netherlands stands at €40.41 per 100 kilograms for July. This is based on an annual supply of 1 million kilograms, excluding VAT. The base price for organic milk for the same period is €59.42 per 100 kilograms. In Belgium, the base price for conventional milk suppliers is €39.06 per 100 litres, based on an annual supply of 1.3 million litres. Notably, rival Arla decided late last week to give its July milk price a significant boost. As a result, Arla not only narrowed the gap with FrieslandCampina but, for the first time this year, also posted a higher base milk price than its Dutch competitor, as shown by the DCA Farm Gate Milk Price Calculator.