Carbery announces reduction in milk price for August
Carbery has today (Monday, September 22) confirmed that it will reduce its milk price to suppliers for milk provided in August.
The group said that if this decision is replicated across the four West Cork co-ops; Bandon, Barryroe, Drinagh and Lisavaird, this will result in an average milk price of 48.41c/L.
This price is inclusive of VAT, 0.5c/L somatic cell count (SCC) bonus and FutureProof sustainability bonus.
The FutureProof bonus and SCC bonus are quoted excluding VAT. The FutureProof bonus available for 2025 is 1.25c/L.
Carbery confirmed that this is a reduction of 1.5c/L from the July milk price.
A spokesperson for Carbery said: "Driven by an increase in global supply combined with weakening consumer sentiment, dairy markets have taken a sharp turn downwards, with butter and cheese prices particularly impacted.
"The outlook for global dairy markets continues to be challenging and the Carbery board will assess the impact on a month-by-month basis.
"We will combine this with optimising business performance and tightly managing operating costs to ensure we can deliver the best value possible from the market for our shareholders," they added.
The decision by Carbery follows similar moves by other dairy processors to cut milk prices for August.
Last week, the Dairygold board decided to reduce the August quoted milk price by 3c/L to 45c/L.
Commenting on the notable reduction in milk price, Dairygold Pat Clancy: "There has been a dramatic deterioration in global dairy prices over the last three to four weeks.
The Dairygold board and management are holding a member information meeting at 2:00p.m on Thursday (September 25) in the Firgrove Hotel, Mitchelstown Co. Cork.
In a message to members, the board said that the purpose of the meeting next week is to provide a business update; to address any queries that members may have; and to explain the rationale for the August milk price decision.
On Friday, over 200 farmers gathered outside Dairygold's offices in Mitchelstown to voice concerns following the price reduction.
The 'Concerned Dairygold Shareholders Group' presented a letter on behalf of member suppliers.
The group of farmers has stated that the 3c/L price cut for August supplies "has cost the average supplier €1,600" for the month.
