Aurivo has announced details of a new fixed milk price scheme, which is open to both the Republic of Ireland and Northern Ireland milk suppliers.

This is the northwestern cooperative’s seventh such fixed price initiative.

Designed to help suppliers manage milk price volatility, the scheme guarantees a secure price on a fixed proportion of supply over a three-year period.

Suppliers who choose to participate will be guaranteed 32.5c/L at standard solids of 3.6% butterfat and 3.3% protein.

This, the Sligo-headquartered co-op says, equates to 37.28c/L at expected average solids for the term of the scheme, for up to a maximum of 15% of their 2020 manufacturing monthly supply.

Participation in Northern Ireland will be guaranteed 27.5p/Lat standard solids, for up to a maximum of 15% of their 2020 manufacturing monthly supply.

The scheme will run for a period of three years, starting on January 1, 2021, to December 31, 2023. A special allocation will apply to new entrants to dairying.

The scheme is open to all milk suppliers and participation is voluntary, however ROI applicants must be certified in the Bord Bia Sustainable Dairy Assurance Scheme to be eligible.

Commenting on the announcement, Stephen Blewitt, general manager of Aurivo’s dairy division, said:

“After strong negotiations with two of our long-term customers, we are very proud of this price offering.

“Aurivo has 1,000 milk suppliers and this scheme will assist those who are faced with uncertainty over milk price volatility.

I would strongly encourage suppliers to consider participation as soon as possible in order to avail of this scheme.

“Suppliers who opt in will receive a secured price for a fixed amount of their supply. We are confident there will be a strong uptake among our suppliers, and we urge those interested in the scheme to submit their application by Monday, December 7.”