We have received the following message from Fresh Pastures regarding the cost of milk in Leeds Schools
‘We are currently experiencing unprecedented times, in the liquid milk market. There has been widespread news that farmers needed to be paid more the milk they produce to ensure they have a sustainable future, and halt the decline where dairy farmers stop producing milk. We have always championed this and have always paid a fair price for its milk. However, recent market movements have taken over us. On a year on year average the milk priced moved by about 1p per litre, but this year, due to a shortage of liquid milk, Farm-gate prices have risen at an average of 0.8p per litre per month, over the last 8 months and market indications predict another 1p per litre from September.
To compound these increases we have also had a significant movement of 19% in crude oil prices over the last few months. This has seen increases in the delivery and collection charges from farms, and our distribution costs and plastic packaging costs increase in line with the increase with crude oil.
We have tried to sustain our prices and absorb these cost increases, incurred thus far, but we cannot continue to do this.
The price increase below just covers these current increases, given we originally tendered for this contract in March 2010, and have held this pricing until now as a gesture of good will. With effect from September 4th 2011 the following prices will apply;
2p per third carton (all types inc workshops and collections)
3p per pint (all type’s and pro-rota’d for all sizes)
9% on all Longley farm, Pomona, and all other’ types of creams and yogurts’
What this means to your school is that if you receive the 1/3 of a pint cartons of whole milk the price per carton will increase from 13.5p per carton to 15.5p per carton.
Leeds City Council still feel that this price represents best value and we would encourage school to continue to use Fresh Pastures and the corporate contract.
By comparison the Yorkshire Purchasing Organisation contract for fresh milk is roughly the same price with Fresh Pastures (0.5p (half a pence) cheaper) and significantly more with the second supplier (6p more expensive)
As a reminder contact details for Fresh Pastures are as follows:
For orders, amendments to orders and delivery schedules. Please use
For delivery issues, complaints etc. Please use rachael@freshpasturescic.co.uk
