Dairy giant Muller has confirmed that the milk price for its 700 Direct farmers will be 28p per litre from March.
The 1p per litre price reduction compared to what the company was offering in January and February comes as an easing of returns over the past six months for products like cream and butter which trade in global commodity markets.
In January, Muller confirmed that farm gate milk prices will be held until March 1st with no change for February.
While seen as welcome news, the farming industry reacted with anger when Muller initially announced a January milk price decrease by 1.5p per litre to 29p.
Rob Hutchison, Müller Milk Supply Director said: “Weaker dairy commodity prices coupled with higher levels of off farm production, are combining to put pressure on farm gate milk prices at the moment.
“We continue to place a focus on adding value to the milk that we buy by increasing the portfolio of Müller branded and private label products we make.
“This gives dairy farmers greater protection from the full impact of these cyclical market challenges.”
