Value of Milk
What unites all our farmers from Franconia, Thuringia and Saxony is the passion with which they work for their milk every day.
We value our producers’ milk as a unique natural product that combines numerous valuable nutrients in a special composition.
Due to their natural texture and flavour-giving ingredients, milk and dairy products – such as yoghurt, quark and cheese – are still indispensable in the kitchen today. Many dairy products are not only part of our Franconian identity, but also interwoven with German food culture. That’s why it’s so important to us to properly appreciate the work of our producers, and to further strengthen trust in one of the most nutritious foods.
Fixed Price Model
Strong price fluctuations in the dairy sector have been observed for several years now. These market developments pose new challenges for milk producers. As a result, many farmers request more predictability and liquidity protection in these challenging times. Production costs can be planned, for instance, through advance contracts in feed purchasing. The milk price, on the other hand, has not been calculable in the long term yet. Using milk futures is a first step in making these calculations possible.
In order to give our farmers the opportunity to increase their planning security and lower liquidity risks, we introduced our fixed price model in 2021.
Together with established experts we have set up a transparent and user-friendly fixed price platform which gives all interested farmers, regardless of their (production) size, the opportunity to enter into futures and hedging transactions.
The system is designed to give milk producers a better insight into market developments, to increase their freedom of choice and to provide them with risk management tools.
We offer a monthly trading run for a maximum of 12 months in advance. The offered prices are analyzed by us in cooperation with the prestigious ife-Institute of nutritional science. The current market situation as well as market expectations, among other things, are taken into account here.
The ife-Institute is an independent and non-profit research institute founded by scientists of the former Federal Institute of Dairy Research in Kiel.
They publish the “ife stock market milk value” on their website (www.ife-ev.de) daily. Our farmers can also use this information to assess the development of the fixed prices.
Detailed information or participation requests can be obtained directly from our supplier consultant team.
Our concern is ensuring a long-term, reliable form of cooperation with our dairy farms and their families. We see ourselves as a competent, fair and efficient partner to our farmers, whose high-quality raw milk we process and market to the best of our ability.
For our producers, milk is not only a passion, but also a livelihood.
Against this background, we are making the greatest efforts to provide them with stable prospects for the future. We have been making sure this is the case for many years, among other things, through our above-average payout prices.
In addition, our team of production advisers is always on hand to offer advice and support to our dairy farms. Through regular contact, we know the individual needs of our suppliers, and can actively help with any questions and concerns while avoiding the usual bureaucracy.
Healthy and contented cows are the central prerequisite for the production of high-quality dairy products. Our milk producers put their heart and soul into the well-being of their cows, and follow strict requirements in terms of species-appropriate husbandry.
The optimal care of these animals starts with the design of the stables, to the way they are fed and to their veterinary care.
In modern stables, ventilation and fans ensure good air conditions. Daylight and additional lighting provide the cows with sufficient light. While in open housing, they can move freely, traverse clean, non-slip walkways and can lie down at any time.
All animals have access to fresh water and healthy, nutritious feed. In our cooperation with our farmers, we attach great importance to high-quality, GMO-free feeding. This not only serves the well-being of the cows; this is because balanced feeding involving the best quality also has a positive influence on the ingredients of the raw milk.
By participating in the “Haltungsformen” quality management system, our farmers document that they meet the high requirements for the process of producing cow’s milk in Germany. The health and well-being of the animals are always in the foreground.