Milk Link announces 1.20 pence per litre increase

Milk Link has announced increases for its Members' milk totalling on average 1.20 pence per litre (ppl). The increases include:

• 0.75ppl increase from 1st August on all Member production

• 0.3ppl bonus between 1st October and 31st March 2008 on all litres provided a Member's production is at least the same level or above last year on a month by month basis

• The 'B' price for December will be increased to 130% of 'A' which means Milk Link will in effect pay c.24ppl for all 'B' litres produced between 1st September and end of 2007.

• Milk Link will pay c.24ppl for all 'B' litres produced between 1st October and end of December 2007. In addition, the 'B' price will increase to 100% of 'A' price in January, February and March. The changes to the 'B' price equate to a further 0.15ppl increase.

The latest increase means that on average the price paid by Milk Link for its Members' milk will have increased by 2.45ppl since the 1st April.

Commenting on the announcement, Barry Nicholls, Milk Link Chief Executive said "The latest price increases combined with those already announced for April & July and our recent Processing Interest Payment means that overall returns to our Members will have increased by 2.65ppl – considerably higher than any other major dairy business in the UK.

"We remain very positive about our ability to deliver further returns to Milk Link Members later in the year."