UK dairy co-operative First Milk has raised its payout to its farmer-owners and increased its focus on driving growth in areas such as exports, the company revealed.
The dairy processor announced today (18 March) a further 3% return on on capital for its members, bringing its total payment for 2013 to 8%. This equates to an extra 0.25 pence per litre on top of the milk price members already received.
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The group said the news comes on the back of a “strong performance” in the last six months of 2013. Chairman Jim Paice emphasised that First Milk is “on its strongest footing for many years”.
The strategic partnership with Adams Foods, the UK arm of the Irish Dairy Board, which was announced last October, provides a “secure home for our cheddar in the UK”, he stressed.
The deal also enables First Milk to increase its focus on developing the export business. “We can refocus our efforts onto areas such as exports and our newer added value products such as Lake District Quark,” Paice commented.
In addition, First Milk is investing in increasing capacity and reducing costs across its sites. The company is “excited” about its prospects for the coming year, Paice concluded.
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