For many farmers in the past, the milk price was above all one thing: a number on the payment statement. It arrived at the end of the month, it was there – and it had to be accepted. How exactly that figure was calculated often remained abstract. At least at DMK Group, that has changed.
With the internal milk payment calculator on myMilk.de, farmers can now estimate how their individual milk payment is likely to develop based on their own assumptions – and understand exactly what it is made up of. “We wanted to create a tool that makes the milk price more tangible for every farm,” says Volker Sauerburger, Senior Project Manager Agriculture and Product Owner of the myMilk platform.
The price behind the price
That is particularly relevant because milk prices at DMK are heavily influenced by bonuses and surcharges. The base price alone often represents only part of what a farm actually earns. “Many people compare only the base price – but the individual milk price is often significantly higher,” says Sauerburger.
The calculator is intended to close precisely that gap. Farmers can model scenarios, calculate whether higher milk components are financially worthwhile and see what impact this could have on their farm’s liquidity. “In the end, it’s about preparing decisions more effectively,” says Sauerburger.
”Many people compare only the base price – but the individual milk price is often significantly higher”
Calculating with uncertainty
Ten years ago, things looked very different. Most farmers worked with experience, average figures and instinct for the market. How individual factors specifically affected their own business often remained unclear. The calculator changes exactly that point: it turns a retrospective payment statement into a forward-looking planning tool. “The goal wasn’t only to create transparency about the past, but also to provide a foundation for future decisions,” says Sauerburger. In doing so, DMK has moved a step further than many competitors – even while recognising one important reality: the calculator cannot replace the market itself.
Understanding instead of speculating
Milk prices remain volatile. Even the best tool cannot change that. But it changes the perspective. A difficult-to-understand figure becomes a system. Gut feeling becomes calculation. Or, as Sauerburger puts it: “We can’t determine the price – but we can explain how it is created.”
