As we move into October, dairy farmers in the UK are set to benefit from various increases in farmgate milk prices, reflecting a stabilising market and ongoing demand for dairy products.

Müller has confirmed its farm gate milk price for this month at 41.25ppl, marking a 1ppl increase for farmers participating in the Müller Advantage program. First Milk has also announced an increase, raising its member milk price by 0.6ppl to 42.6ppl for its manufacturing standard litre, including the member premium.

Similarly, Arla has boosted its prices, increasing by 1.69ppl for both conventional and organic milk. Organic Herd is taking a significant step as well, increasing its price to a record 56ppl.

Richard Collins, head of agriculture at Müller Milk & Ingredients, stated: “We’re pleased to see stability in the market, and following an increase to our farm gate milk price in September of 1.25ppl, we are in a position to increase it again by a further 1.00ppl for October.”

He expressed optimism about the current market conditions, adding: “We recognise the ongoing pressures on our supplying farmers and as always, we will continue to monitor supply and demand.”

First Milk’s vice chairman and farmer director Mike Smith, commented on the price increase saying: “We are delighted to raise our milk price once again, which we are able to do because of the continued healthy performance of our business. This is more welcome news for our members as they head into the Autumn, following challenging on-farm conditions from Spring and all through Summer.”

Arla has also made strides by announcing a 1.69ppl increase for its conventional milk prices starting from October. This adjustment brings the UK manufacturing price for conventional milk to 45.02ppl and organic milk to 55.89ppl. Arthur Fearnall, Arla Foods amba board director, remarked on the broader market dynamics, stating: “Commodity markets are continuing to increase, driven by fat-heavy products, especially butter.

“The increase is driven by the strong demand and additionally fuelled by the current lower milk volumes traditionally associated with this time of year and limited availability of fat in the EU. Overall, the outlook is slightly positive.”

Furthermore, Organic Herd has reported a significant price rise, increasing its member milk price by 2ppl to a record 56ppl. Martyn Anthony, Organic Herd’s chief executive, commented: “Our strategy remains one of creating long-term stability and growth by generating returns to farmers that reflect the true value of, and demand for, the high-quality food we produce.”

He underlined the co-op’s focus on providing a stable and sustainable milk price that can benefit both current and future generations of dairy farmers.

The increased milk prices across these leading dairy organisations highlight the positive momentum within the dairy sector, offering much-needed financial support to farmers.