Arla’s 13th Payment

After previously announcing that the entire 2018 net profits would be paid out to its farmers (see September’s article https://abcbooks.co.uk/?s=Arla), Arla has now confirmed this 13th payment will be 2.3 Euro cents/kg; the highest since 2012.  The amount paid to UK Arla members is expected to be announced on 8th March.  The conversion from Euro cents/kg paid in Denmark to ppl in the UK is fairly complicated, including an adjustment made for lower milk constituents in the UK, but the payment is expected to be about 1.55ppl; worth £31,000 for a 2m litre producer.  The payment this year is of particular interest to UK producers because, as most have now completed their capital payments into the business, they will actually receive the cash.