Dairy co-op Arla has launched a new premium milk brand, which guarantees to pay an extra 25p from its retail price directly to dairy farmers.
Arla Farmers Milk launches tomorrow (12 July) in Asda stores nationwide, and will retail at a higher price: £1.20 per four pint bottle, compared to the 95p cost of an own-label Asda four-pinter – which is also supplied by Arla.
The new brand, which will be available in semi-skimmed and whole milk formats, was developed after research by Arla found that 60% of shoppers said they would pay more for dairy products if they knew the extra money went back to farmers, while 70% said they would buy products from a farmer-owned company.
It follows the launch of the similar Morrisons Milk for Farmers – which is also supplied by Arla and guarantees to pay a premium back to dairy farmers – last autumn.
The new range was designed to give shoppers more choice, Arla said.
It would not affect Arla’s existing supply arrangement for all of Asda’s own-label milk, a spokeswoman said, while Asda milk would continue to carry the Arla Farmer Marque, which was introduced last year onto branded and own-label credentials. The extra 25p per bottle will be shared around Arla’s 12,700 members across Europe.
The spokeswoman also refused to rule out a wider launch of the brand with other retailers in the future.
“This new milk is a great boost to our dairy farmers,” said Asla Foods farmer board director Jonathan Ovens.
“People want to know more about where their food comes from and who benefits, and are willing to pay more if they know it goes directly to the farmers who produce it,” he added. “As we’re part of a co-operative, the money we receive goes back to farmers who supply our milk.”
“Asda has had a strong affiliation with dairy farmers since its formation and this continues today with the support we provide,” said the retailer’s senior director for sustainable business Chris Brown.
“Launching Arla Farmers Milk in Asda provides our shoppers with the prefect opportunity to help that little extra for their milk knowing it will go back to the farmers and is another example of how Asda is supporting the dairy industry.”