Updated: Kerry and Dairygold announce their September milk prices
Both Kerry and Dairygold have announced their decisions to hold their September milk prices, following a similar call by Glanbia Ireland last week.
This decision means that Kerry’s suppliers will receive a base price of 36c/L including VAT for milk manufactured in the ninth month of this year.
This brings to an end four months of consecutive increases. In the past two months Kerry has increased its milk price by 1.5c/L – this followed on from 1c/L increases announced for both May and June milk.
Dairygold has also confirmed its decision to hold its price for September milk. Its suppliers will receive a base price of 36c/L – which includes a 0.5c/L quality bonus and VAT.
Last month the processor decided to up its milk price by 1.5c/L, with 1c/L increases announced for June and July milk.
Dairygold has today decided to hold the price for milk supplied in September at 36 cent incl 0.5 cpl quality bonus & VAT. #milkprice
— Dairygold Co-Op (@DairygoldCo_Op) October 18, 2017
As mentioned above, Glanbia Ireland has also decided to hold its milk price at at 35c/L including VAT for last month’s supplies. Its price is based on manufacturing milk supplies at 3.6% butterfat and 3.3% protein.
However, Lakeland Dairies decided to increase its payout for September milk. Compared to August, it will pay a 1c/L butter bonus for all milk supplied – including all fixed-price contracts.
This takes the Lakeland payment to a gross 36.5c/L including VAT – a 1.22c/L increase in total.
This is the fifth consecutive monthly increase announced by Lakeland Dairies; last month the co-operative increased its August milk by 1c/L along with a lactose bonus of 0.28c/L giving a milk price of 35.28c/L including VAT.
Other processors are expected to meet in the coming days to announce their September milk prices.
Second consecutive fall at the latest GDT auction
The overall price index at the latest Global Dairy Trade (GDT) auction in New Zealand has recorded its second consecutive decrease in the month of October.
The price index fell by 1% from the previous event earlier this month; on Tuesday, October 3, a decrease of 2.4% was witnessed – the biggest decrease reported since March of this year.
These decreases follow on from consecutive increases of 0.9% and 0.3% at the two GDT auctions during the month of September.