July milk price boost for Arla farmers

Arla will raise its conventional milk price in July, while holding its UK organic price unchanged as dairy markets remain broadly stable but organic demand continues to face uncertainty.

The co-operative has confirmed that its conventional milk price will increase by 1.32 pence per litre, or ppl, from July 2026, taking its UK conventional headline price to 37.24ppl.

The rise includes a quarterly currency exchange rate adjustment, which has added 0.09ppl to the on-account price.

However, Arla’s UK organic milk price will remain unchanged for July, with the co-operative’s organic headline price staying at 56.40ppl.

According to Arla, global milk supplies have stabilised at a high level, with “plenty of supply all over Europe”.

Retail prices are also stabilising, while global commodity market prices are “overall stable”.

The co-operative said the outlook for conventional milk remained “stable”.

For organic milk, however, the picture is less certain.

Arla said UK organic demand remained stable, but there continued to be an imbalance between demand and supply.

As a result, the organic outlook remains “uncertain”.

The move follows a separate July milk price increase from First Milk, which has confirmed that its milk price for a standard manufacturing litre will rise by 0.6ppl from 1 July 2026.

The increase takes its manufacturing standard litre to 31.35ppl, including the member premium.

Together, the announcements point to some upward movement in conventional milk prices, while organic markets remain under pressure from an imbalance between supply and demand.