ONE Arla cooperative formed in the UK
The New Year saw Arla’s UK farmer owners unite in a new cooperative – The UK Arla Farmers Cooperative Ltd (UKAF).
The New Year saw Arla’s UK farmer owners unite in a new cooperative – The UK Arla Farmers Cooperative Ltd (UKAF). UKAF is the single UK corporate member of Arla Foods amba and maintains the same rights within Arla Foods amba as the former cooperatives – Arla Milk Link (AML) and Arla Milk Cooperative (AMCo).
The merger of the two cooperatives completed on 1 January 2016, following approval from Arla’s Board of Representatives, UK Arla farmer owners and the relevant authorities.
A new democratic structure has been put in place and the new cooperative will be chaired jointly by Arla Foods amba farmer board directors – Jonathan Ovens and Johnnie Russell.
Commenting on the decision, Johnnie Russell said: “The creation of a single UK corporate member of Arla Foods amba, rather than the two we had previously, will further unite and strengthen the voice and influence of Arla’s UK farmer owners in Arla’s Board of Representatives and Board of Directors. It will simplify and align the UK structure within Arla Foods amba and, importantly, it fulfils the commitments made by both AMCo and AML to create one corporate member in the UK.”
Jonathan Ovens added: “Bringing together AMCo and AML represents an important and strategic step for British dairy farmers who supply their milk to Arla Foods. The terms of members existing milk contracts will not change as a result of the merger but new rules have been adopted, along with a new democratic structure to ensure that the needs of all 2,700 UK farmer owners are met. The adoption of the new rules will maximise efficiency within Member Services because we now have just one set of rules and for a more aligned way of dealing with all UK members.”
