I wrote my spread sheet mainly so I could create a budget for my milk income, writing in the a/b, seasonality comparison was an easy extra to add. Sadly, I also rather enjoy sorting out a spreadsheet.Originally Posted by fir tree
I think you are right about the membership portal. It is about to undergo a major revamp, there will be a few council members and BoR involved but I am sure they would welcome contributions of what should be included.
As a first time poster but long time watcher of this thread I would first like to thank FOB for the time he puts in answering everyone's questions so fully and persevering while the great uninformed feel the need to take personal snipes at AML and yourself. I feel that the AML suppliers on here are not really representative of suppliers in general, whilst we would all have liked a bit more for our milk over the winter, most of the members I have spoken to have always stuck by the merger because we all know it has to be better to be part of a multinational company supplying the world markets than fighting only making cheese and fighting it out with DC and the Irish for supermarket shelf space.
Now for my whinge about AML. I milk jerseys and supply milk on the channel island contract. Last month's 1.06 price rise and the one before were paid out through an increase in the BRMA which although welcome it is annoying that proportionally we get less of a price rise than those who produce lower solids milk, but what really grates is that yesterdays 1.7 was paid through an increase in solids payments across manufacturing and CI contracts but we got less of an increase than those on the manufacturing contract so that our standard litre also goes up by 1.7. When the price rises are due to an increase higher values for fat and protein from the market I really feel those of us producing high solids milk should benefit proportionately. I would be happier and better off if I was on the standard manufacturing contract but I have been told that I would not be paid for fat above 4.6 and protein above 3.6 which is a ridiculous as there are plenty of block calving herds that would supply higher solids milk than this at the end of lactation.
I read recently that the payments for fat and protein in Denmark are paid at a ratio of 1:1.2. Are milk link paid on this ratio because my contract is near enough 1:2 fat: protein
I have some other rants about the CI contract but will leave it at that for now.
welcome grass farmer and you have tought me something new today. didn't realise there was a cap on fat and protein, but i'll worry about that when we get there (never probably)
Can i ask where you are??
Good to see some support for Arla, but back to basics - the quality of what you are producing is irrelevant, the problem is whatever the quality is, you could get substantially more money for your milk NOT selling to Arla
Have to ask why? especially when we you consider you have funded so much investment in reducing processing costs etc....!!!!!!
As I said before I'm partially playing devil's advocate with myself as I normally support Arla and Supported the Merger etc, but as with most enough is enough
Hello grass farmer, I used to be on the ci contract and realise I was better off on the manufacture contract so I bought two freisians and I change my contract! There are no cap on solids as I'm avarage 6fat 4 protein. About time they pay more on solids.
I'm in south Devon, not so far from the Language creamery that AML supply around 4 - 5 million litres of CI milk into each year. There is no official cap on fat and protein but it seemed they would write a unique contract for me if I wanted to go on the standard manufacturing contract. I'm not sure if there is anyone else milking jerseys who is allowed on the manufacturing contract but I felt when I came off an organic contract a few years ago we were pushed onto the CI contract (which meant selling my few crossbred) because of our proximity to Language.
I feel that those of us on the CI contract are currently subsidising the other contracts. Our price is never published like the liquid/manufacturing ones and I feel they will do anything to bolster the headline prices on these contracts, including borrowing (robbing) from the smaller niche contracts
In our area I don't think there are any other milk buyers, DC haven't taken on anyone around here since they shut brown the Totnes depot. I dont want to leave anyway, I just want the same per kilo MS as those on the manufacturing contract.
Hi grassfarmer,
Thanks for your comments. I have to admit I did not know about the differences on the CI contract, thank you for highlighting it. I have also never heard about the 4.6 & 3.6 limit, we certainly exceeded that last November and were paid for it. Could you PM with details of who you have dealt with over this, plus any more comments you have on the CI contract because it is all currently up for review and I have been asked to help with that.
You are correct about the fat to protein ratio which has just changed from 1:1.4 to 1:1.2 and yes Milklink are paid on that basis, which was where the extra 0.08ppl came from on this price rise. Clearly that has to be taken account of in how Milklink pay in the future. Arla foods UK has also moved from a surplus of fat to a deficit of fat with the merger and production of Anchor from Westbury. Everything seems to be pointing to a change in the ratio we pay for fat to protein to more in line with arla amba in the future but nothing is decided.
So what is thegenral feeling now then, people still cant wait to jump ship, or happy to see how it goes? I would also like to thank fob for his info ,
Well we haven't recinded yet and have no intention to any time time soon, I think alot could yet happen one way or the other over the next 6 months(more mergers/takeovers). We are quite happy to sit on the fence a little while longer. Although things are possibly begining to look a little more promising, time as always will tell.
Would of thought arla will bring in a penalty to the milk price if you have your notice in?
Why? To try and really show how one sided the contracts are. If they did, I believe this would rally a number of suppliers to seriously re consider their contracts! One of the main reasons for the 12 months notice is that it allows ARLA to deal with the loss without penalty. I would challenge the legality of any penalty/unfair action.
We will see what happens, but I'm sure there will be many changes to our contracts to bring in line with the whole of arla amba and to a more solids based system,
Totally agree. Arla wants to keep its owners and its milk supply, even if suppliers leave, the aim should be to maintain a reasonable relationship so they may be willing to supply in the future.
Agree with this. We started off on a manufacturing contract when we converted from Holsteins a few years ago. About 18 months after that I got a call saying they wanted mine on a CI contract which was paying 0.3ppl less so they could ship it down to Langage. Talking to drivers my milk now goes anywhere, DC, Taw Valley and even Wisemans at Sedgemoor. So much for CI "bonus"! They flog it off at manufacturing prices and palm me off with CI prices. Pretty disgraceful as far as I'm concerned, feel conned when I was told I had to move to a CI contract. Perhaps I should get a couple black and whites too
Put your milk somewhere else. Actions speak louder than words.
Re: Arla
.77ppl increase from the 2nd of September. It will be applied by way of an increase to constituent payments, taking our standard litre to 32.21. Well done Arla!
Last edited by dinderleat; 21-08-13 at 10:44 PM.
no encouraging words from arla members? from those on a CI contract? from its organic members? or from the non Arla farmers on manufacturing contracts? No well why doesn't that surprise me 10 pages of mostly moans followed by nothing when things go the right way. prehaps the cliche about farmers moaning/never being happy is true...
well done Arla
lazy
I'm certaily feeling a bit more optomistic than last winter. I am also pleased to see they are scrapping the premier bonus. 20 out of 1600 farmers were getting it which just a underhand way to get the headline price down. I'd think farmer on a bike might have put some work in on that one. I'd like to see transport charges scrapped next and just use the volume bonus to encourage more milk. With the fall in feed aswell the two are going to make things hopefully a lot better for me. last winter was a bugger and others i'm sure. Might be why people are not singing from the roof tops just yet. looking forward to sending 800/1000 litres of 'B' milk in sept/oct/nov a day.
I'll be on over 40ppl come sept2nd!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! Thanks ARLA for finally getting CI sorted and paying us for what we produce, ie your best quality milk with less water in it to keep your haulage and manufacturing costs down!
Thats before seasonality, I might add
Yes finally some good news, but lets see what dc davidstow do next before we all get too to excited, if current history is anything to go by they'll be along shortly to p**s on our fireworks, but hopefully not this time for a change. We have a lot of ground to make up since last October and I'm not going to forget that easily, they have made a lot of money out of our milk. But things are certainly looking a lot more refreshing going into this next 12 months. We wait with baited breath for more instalments.
Sorry if ive read this wrong, but you are only happy if other milk buyers do not follow and help to increase the price further?Yes finally some good news, but lets see what dc davidstow do next before we all get too to excited, if current history is anything to go by they'll be along shortly to p**s on our fireworks, but hopefully not this time for a change. We have a lot of ground to make up since last October and I'm not going to forget that easily, they have made a lot of money out of our milk. But things are certainly looking a lot more refreshing going into this next 12 months. We wait with baited breath for more instalments.
Well done arla milk link im really happy to be a member
would like other buyers to follow but as arla members we must have a premium over direct sellers to cover our investment risk and return, which is not to be taken lightly as the amounts are huge compared with direct selling.Other milk sellers ought to find there own way of negotiating there milk price rather than just basing it on what we at arla amba have done.We still have much to do yet both on price and other matters.
Amazing its like pushing water up hill , and as for prices rising for others i beleive the market sets the price and whether you like it or not(from the way you write you don't) ARLA are now big boys in the UK and are now looked on to set the tone. Much as in the same way it used to be tesco s. AT least now the begging bow can be put back in the cupboard which is surely a good thing?but apparently not...........
lazy
for the record Lazy i have never begged for more money and are reasonably happy with the way it is progressing but like i said there is still much to do not just on price.
I know i am a pain in your pals side as i try to hold them to account, so i realize why you post as you do.You are correct that the market sets the price from which then every milk buyer deducts their costs and should allow a profit margin for them selves so thefore direct sellers should receive less as arla amba members control the whole chain. you probably need to spend a bit more time on reading up about arla amba rather than just listening to one view point ,then do the anlaysis that you do for your own accounts ,then reflect on it and then let me know how you feel bearing in mind that you have made no investment in them and therefore have taken no risk.
i never suggested you did beg for money that was the indusrtries job but you can't deny until the Arlamilklink merger the only game in town as to headline milk prices were those set by supermarkets and especially tesco's. now the market is operating better with a Larger co op and higher world prices the days of begging at the supermarkets door are now over and hopefully for a long time. My main point is though why did it take a poke from me for you to say you are "reasonably happy" why not come out and say that then make your very relevent points on Alra as a whole. those with issues will not be taken seriously if there is no recognition of the progress that has been made in a short period as to price and contracts.
lazy
Sorry I should have penned that better. We have been the poor relations to dc in our area since milk link was formed and if we have finally broken that enigma then that is a huge milestone and one they need to be congratulated for and one that will do wonders for suppliers confidence in the business. As for awaiting further instalments we wait to see how the two companies continue to intergrate and evolve as a business together for the continued benefits of its members. I wasn't holding the begging bowl out.
Hi Fir tree. I would agree that there is still much to do. I just wanted to comment about price. The 13th payment ( I realise that it is still some way off because of the merger agreement) represents the return on risk and capital. The on-account price should be comparable to the price any direct receives because it does not reflect any return on risk or capital.
Lazy i dont think that i have posted in a negative way just stating my view.I am sure that the various representatives of arla milk link know that they are slowly getting it right by the amount of comunications they have from members,i am quite happy to give them my view, but communication needs to be a 2 way street at certain levels.I am puzzled at why you always try to provoke me , I am actually intrested in how you farm and how you achieve it but you always come back with negatives so thats why i dont post on other threads,i suspect that we have a fair bit in common
fir tree
Solids a bit low this year are they? I reckon with seasonality we could come close to mid 40's this autumn, that's nearly 10ppl more than last year!
Thankyou AML, and thankyou jerseycowman and FOB for working hard behind the scenes.
Could I also post a thankyou for the SE Cornwall AML farmer representative who has worked hard over the last while on our behalf. It is very much appreciated that he has always made time to talk things through and explain the current and ongoing situation.
We look forward to further increases in the profitable contracts and sales by AML which will further help our milk price. The mantra of 'turnover is vanity, profit is sanity' applies to the milk processors as well as ourselves.
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