Defra publishes reworked February average milk price

Published 29 April 16

Defra has published the average farmgate price for March, along with a revised February price which excludes the impact of bonuses paid in the month. The February average price has been adjusted to 22.93ppl, matching the estimate put out by AHDB Dairy last month. Using the new figures, the average price paid out in Feb-16 was 8.5% lower (2.14ppl) than in the same month last year.

In March, the average farmgate price fell a further 0.55ppl to 22.38ppl, putting it at 10.5% lower than in the same month last year. Although some significant price reductions were made in March, including a 3.25ppl cut for Arla’s direct suppliers, these applied to a relatively small amount of milk so the overall impact on the UK average was diluted.