Award

Dairy Market Indicators Review

DEPARTMENT FOR ENVIRONMENT FOOD & RURAL AFFAIRS

This public procurement record has 2 releases in its history.

Award

11 Dec 2024 at 13:29

Award Notice
Tender

21 Oct 2024 at 10:51

Tender Notice
Summary of the contracting process

The Department for Environment Food & Rural Affairs (DEFRA), headquartered in Coventry, has initiated and completed the tender process for the "Dairy Market Indicators Review." This project, classified under Analysis Services (CPV 71620000), aims to update the AMPE and MCVE dairy market indicators, which are crucial for farmgate price formulas and negotiations. DEFRA has awarded the contract to Dr Ken Burgess as of 11th December 2024, following the competitive quotation method. The review, which began on 10th December 2024, will conclude by 1st April 2025, with findings to be reported in the spring of 2025.

This tender represents a significant opportunity for businesses specialising in agricultural analysis, particularly those familiar with dairy industry metrics and cost assessments. Small and medium-sized enterprises (SMEs) with expertise in statistical analysis, economic trends, and market indicator methodologies are well-suited to participate in such projects. The focus on updating cost and yield data to reflect current energy costs and technological efficiencies can help businesses offer valuable insights and solutions, thereby fostering growth and industry relevance.

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Notice Information

Notice Title

Dairy Market Indicators Review

Notice Description

AHDB wishes to conduct a review of our dairy market indicators. The *AMPE and MCVE market indicators are used in farmgate price formulas and negotiations but need to be kept up to date to ensure accuracy. Reviews have been conducted at roughly three yearly intervals. Following the last review in 2020 estimated factory costs have been kept up to date by applying relevant inflationary indexes to energy costs including gas and electricity, and labour). AMPE (Actual Milk Price Equivalent) is an indicator of the factory gate value of a litre of milk used for butter and SMP while MCVE (Milk for Cheese Value Equivalent) assesses returns from mild Cheddar and whey powder/butter. Processor costs and yields in the calculation of them are subjects to change over time due to factors such as economies of scale, more efficient factories, improvements in milk solids and changes in energy sources. In order to address this, AHDB wish to commission a review of AMPE and MCVE to ensure representativeness. The review will seek to establish how UK processor costs and yields have changed and what representative figures for these would be. The conclusions of the review will be reported in the spring of 2025. Although they are not intended to be correct for every plant - there are instead designed to be typical of the industry - it is important that they are updated from time to time as technology and costs develop. It is important to note that milk price indicators are indeed, "indicators". There is no intention to provide an absolute value. There is variability in costs across different processing plants and factors such as milk composition, plant utilisation, and efficiency will affect this. The value of market indicators is as a basis for identifying trends and to attempt to use them for more precise purposes goes beyond the limits of their scope and accuracy.

Notice Details

Publication & Lifecycle

Open Contracting ID
ocds-b5fd17-1bc56623-dafa-4191-8544-7aee1d607bbe
Publication Source
Contracts Finder
Latest Notice
https://www.contractsfinder.service.gov.uk/Notice/d15cc5c2-9ec5-4403-82a4-f797720bf211
Current Stage
Award
All Stages
Tender, Award

Procurement Classification

Notice Type
Award Notice
Procurement Type
Standard
Procurement Category
Services
Procurement Method
Limited
Procurement Method Details
Competitive quotation (below threshold)
Tender Suitability
SME
Awardee Scale
SME

Common Procurement Vocabulary (CPV)

CPV Divisions

71 - Architectural, construction, engineering and inspection services

CPV Codes

71620000 - Analysis services

Notice Value(s)

Tender Value
£30,000 Under £100K
Lots Value
Not specified
Awards Value
£25,100 Under £100K
Contracts Value
Not specified

Notice Dates

Publication Date
11 Dec 20241 years ago
Submission Deadline
15 Nov 2024Expired
Future Notice Date
Not specified
Award Date
9 Dec 20241 years ago
Contract Period
10 Dec 2024 - 1 Apr 2025 1-6 months
Recurrence
Not specified

Notice Status

Tender Status
Complete
Lots Status
Not Specified
Awards Status
Active
Contracts Status
Not Specified

Buyer & Supplier

Contracting Authority (Buyer)

Main Buyer
DEPARTMENT FOR ENVIRONMENT FOOD & RURAL AFFAIRS
Contact Name
Available with D3 Tenders Premium →
Contact Email
Available with D3 Tenders Premium →
Contact Phone
Available with D3 Tenders Premium →

Buyer Location

Locality
COVENTRY
Postcode
CV3 4PE
Post Town
Coventry
Country
England
Major Region (ITL 1)
TLG West Midlands (England)
Basic Region (ITL 2)
TLG1 Herefordshire, Worcestershire and Warwickshire
Small Region (ITL 3)
TLG13 Warwickshire CC
Delivery Location
Not specified
Local Authority
Warwick
Electoral Ward
Cubbington & Leek Wootton
Westminster Constituency
Kenilworth and Southam

Supplier Information

Number of Suppliers
1
Supplier Name

DR KEN BURGESS

Further Information

Open Contracting Data Standard (OCDS)

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The Open Contracting Data Standard (OCDS) is a framework designed to increase transparency and access to public procurement data in the public sector. It is widely used by governments and organisations worldwide to report on procurement processes and contracts. 

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