CUMBRIAN producers supplying Arla Foods’ will see their farmgate milk price remain unchanged for September.

The major farmers' dairy co-op has confirmed its prices for conventional and organic milk will remain unchanged from September 1.This means its conventional price will remain at 29.26ppl with its organic price at 37.62ppl for farmer owners who have completed their Arlagarden and Climate Check data.

Arla Foods amba board director, and farmer owner, Arthur Fearnall, said the commodity market had been ‘relatively quiet during summer as demand had stabilised’ following an initial rush to restock.“The gains on the GDT auction during July have reversed and prices have now returned to the levels of late June," he added.

“Both the conventional and organic markets remain hesitant as they wait to see how the full economic impact of COVID-19 lockdowns starts to unfold, however the current outlook remains stable.”

Graham Wilkinson, Agriculture Director for Arla in the UK added: “As we all adapt to the new norms of COVID-19 I have admired the adaptability of our colleagues and our farmers to put each other’s safety and wellbeing first. I have also been delighted to see our farmer owners remain focused on sustainability by completing the entries and continuing the auditing of both their Climate Checks and ArlaGarden data. In doing so, our farmer owners are helping put Arla in a strong position as we continue to develop the right propositions for our customers given both food quality and sustainability remain high on the consumer agenda.”

Meanwhile, First Milk has announced that its September milk price will increase by 0.5ppl.

This means its liquid standard litre will increase to 27.25ppl, whilst its manufacturing standard litre will increase to 28.15ppl, both including its member premium.

Robert Craig, vice-chair of First Milk and Cumbrian dairy farmers, said: “Even though Covid-19 has impacted the dairy market, First Milk has been able to weather the storm and provide members with milk price stability to date.”

He added: “Overall our first quarter results were positive, albeit in challenging circumstances, and this has allowed us to deliver this milk price increase to our members for September.Of course, there remains uncertainty ahead, from the potential supply chain and market disruption if no EU trade deal were to be agreed, to concerns about what may happen with Covid-19 as we head towards autumn. As ever, we’ll do all that we can to maximise returns and deliver stability to our members in the months ahead.”