FrieslandCampina guaranteed price organic farm milk May: 56.25 euros
FrieslandCampina will decrease its guaranteed price for organic farm milk for May by 4.75 euros to 56.25 euros per 100 kilogrammes compared to April (61.00 euros per 100 kilogrammes), including a small downward correction over the previous period. The European market is currently showing a surplus of organic milk. As a result, reference companies are expected to lower their organic farm milk prices.
The average guaranteed price for organic farm milk for 2023, including May, is 61.70 euros per 100 kilogrammes of milk.
The FrieslandCampina guaranteed price for organic farm milk is paid out in the milk components: protein, fat and lactose, in a fixed ratio of 6:4:0. The guaranteed price is published per 100 kilogrammes of farm milk, at 3.58% for protein, 4.45% for fat and 4.54% for lactose, exclusive of VAT. The amount applies for an average of 550,000 kilogrammes on annual basis.
Value milk components May
This month the protein value is 859.22 euros and the fat value is 572.81 euros per 100 kilogrammes of organic farm milk.
Guaranteed price
The guaranteed price is the price that the company guarantees to pay member dairy farmers for the farm milk they supply. The guaranteed price reflects the average farm milk price to be paid by a number of dairy companies in northwestern Europe, including supplementary payments, registered reservations, seasonal supplements, quantity supplements, maximum quality supplements, and cooperative supplements or charges.
Based on the monthly guaranteed price, a member dairy farmer receives milk money. The milk money is based on the quantity and protein, fat and lactose content of the milk supplied by the member farmer. The difference between guaranteed price and milk money arises from the offsetting of fixed costs and supplements or charges. In 2023, the fixed costs of organic and biodynamic farms are 0.33 euro per 100 kilogrammes of farm milk supplied.
Explanation of graph
- 2019 is based on Milk Fee Regulations 2017-2019
(3.47% protein, 4.41% fat and 4.51% lactose) - 2020, 2021 and 2022 are based on Milk Fee Regulations 2020-2022
(3.57% protein, 4.42% fat and 4.53% lactose) - 2023 is based on Milk Fee Regulations 2023-2025
(3.58% protein, 4.45% fat and 4.54% lactose)