Arla Raises Milk Price By A Further 0.10 DKK
GLOBE - Arla Foods is implementing a further 0.10 DKK per kg increase on the on account price paid to co-operative members.
15 August 2007
1 minute read
Last week, the company's Supervisory Board increased the milk price by 0.128 DKK per kg based on the previously announced price increases in the autumn. At the same time, the board stated that further on account increases could be in the pipeline. The latest 0.10 DKK increase means that Arla Foods' on account price has now been increased with a total of 0.228 DKK (0.281 SEK) this month. The average on account price is now 2.34 DKK per kg milk (2.88 SEK).
"The rise should be seen against the backdrop of further price increases to be announced as and when the market is able to sustain them," said Peter Tuborgh, CEO, Arla Foods.
"Let there be no doubt that we want to retain all our co-operative members. Consequently, we have decided to implement a further adjustment of the on account price as a clear signal to co-operative members."
"Developments in world markets illustrate that the on account price will become more flexible and this will be the case with Arla too," Peder Tuborgh said, emphasising that Arla Foods' added value strategy and strong brands will ensure the company's resistence to market fluctuations."
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