The cost of a pint of Manx milk will go up for the first time in eight years next month.
From 1 October, the cost of a pint will rise by five pence to 65 pence and two pints from £1.20 to £1.30; a litre of milk will go up by five pence to £1.05.
It is the first increase to the cost of a pint of milk since 1 June 2012 – although some changes to the price of other measures were introduced along with metric cartons in 2018.
The retail price of Manx milk is controlled by the Milk Price Order, which aims to give consumers a reliable supply of fresh cow’s milk at a reasonable price.
As part of the order, the Milk Marketing Committee (MMC), which has the legal power to set milk prices, considered recommendations made by the Isle of Man Milk Marketing Association (IoMMMA), which oversees the promotion of Manx milk and related products.
The MMC is chaired by Geoffrey Boot MHK, Minister for Environment, Food and Agriculture, and includes three lay members of the Office of Fair Trading, who represent consumers, and three Manx milk producers.
Before agreeing with the IoMMMA’s recommendation to increase prices, the committee considered many factors including market trends, production costs, impact on the consumer, and retail competitor activity.
Minister Boot, said:
‘It is important that consumers have a reliable source of fresh milk and dairy farmers receive a fair return. The committee was persuaded by the case put forward and therefore agreed to support the milk price increase.’
Findlay Macleod, the Creamery’s Managing Director, said:
‘With no increase to milk prices on the Island since 2012, this small increase is an essential part of keeping our local dairy industry viable in these extremely challenging times.
‘The restrictions that were implemented during COVID-19 have impacted all businesses and ours is no exception. Although we have gained many additional doorstep customers on-Island, we have incurred significant increases in our operational costs, and faced many commercial challenges within the dairy market. It is essential for us to pay the Island’s 33 dairy farmer producers a fair price for the milk they provide to the Creamery. This small increase to liquid milk prices will also help other local milk producers and the wider dairy industry through these extremely difficult times.
‘This price increase was originally scheduled for May 2020 but after consultation with the IoMMMA and the Government in light of the COVID-19 situation, it was decided to delay the increase until we felt that the Island was in a less uncertain position. We would like to thank our loyal customers for their continued support for fresh, Manx, grass-fed milk and dairy produce of the highest quality.’
The cost of the 200ml milk cartons provided to schools will increase by two pence to 21 pence from 1 January 2021.