Dairygold yesterday became the latest milk processor to maintain its September milk price despite “significant inflation that could potentially hurt demand,” according to a spokesman for the processor.
t announced it would pay 57.5 c/l for October milk, which equates to an average milk price of 74.9 c/l based on average milk solids.
It comes as Tirlán, Lakeland Dairies and the Kerry Group all recently announced that they would maintain their milk prices from last month.
Tirlán pays 58.08 c/l for October milk, which is made up of a base milk price of 51.08 c/l, the Agri-Input Support Payment of 6.5 c/l and a Sustainability Action Payment of 0.5 c/l .
A seasonality bonus of 4c/L is paid on all non-contracted milk quantities delivered in December that meet the quality criteria.
Tirlán chairman John Murphy warned that international dairy prices have fallen as buyers near the end of the year.
“The spot market yield for some products has fallen below the current farm gate price.”
In the Republic of Ireland, Lakeland Dairies maintained its October milk price at 58.85 c/l. This includes an additional input support payment of 1.5c/L for all suppliers including fixed milk prices.
In ROI, all fixed milk price contracts receive an additional payment of 8c/L plus the additional payment of 1.5c/L Input Support Payment.
In Northern Ireland Lakeland Dairies has retained the price of 47.5p/L which includes an input support payment of 1.5p/L.
In Northern Ireland all fixed milk price contracts receive an additional payment of 7p/L plus the additional input support payment of 1.5p/L.
The Kerry Group pays 56c/l for October milk. Based on the processor’s average milk solids for the month, the milk price return including VAT and premiums is 70.97 c/l.
According to Lakeland Dairies, global dairy markets, including Asian markets, have come under increasing pressure in recent months, with both prices and demand falling very significantly over the past month.
“Geopolitical and economic issues, including inflation, interest rates and energy prices, continue to affect overall market dynamics at all levels.
“These factors are leading to lower demand as sentiment among dairy buyers and consumers is seriously challenged in line with increasingly volatile market conditions.”
https://www.independent.ie/business/farming/dairy/milk-prices/key-milk-suppliers-hold-september-milk-price-despite-global-dairy-markets-remaining-under-growing-pressure-42155555.html Major dairy suppliers hold September milk price steady even as global dairy markets remain under “mounting pressure”.