September 25, 2003
British milk quota sales prices have jumped by 0.5 pence a litre over week ending 24 September, breaking the 15p/litre barrier for the second time this season. This despite figures from the Rural Payments Agency (RPA) showing that non-producers still have about 60% of their quota to sell by the end of the year.
Strong milk production has caused the price hike, say traders. Volumes traded were steady, with both vendors and buyers reluctant to commit in such a volatile market, they said.
Latest RPA figures show that non-producers had sold about 36% of their quota by 22 September, not including those forms waiting to be processed. It is not clear now how the market would react in the coming autumn and winter months, as that would depend on production, said an analyst.
