Archive: Milk used for manufacturing significantly rising

Published 17 July 14

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Utilisation of milk continues to remain evenly balanced between manufacturing and liquid, however, current trends would suggest this may change going forward. Milk utilised for manufacturing increased 14% for the 12 months ending May 2014 compared to volumes used over the previous year. This resulted from the large increase in milk production year-on-year.

It highlights the limited ability of the liquid sector to provide a market for increasing milk production, as mentioned in DairyCo’s presentation at the Livestock Event. Therefore, if UK milk production increases as anticipated, a larger proportion of milk will need to be utilised for manufacturing. It then will become more important that the pricing structure on manufacturing contracts provides farmers with clear price signals to ensure the milk profile best meets their specific requirements.