Irish dairy cooperatives cannot keep dragging their heels on milk price when all indicators point to higher prices, according to the Irish Farmers’ Association (IFA).

Commenting following the news of a third consecutive increase to the Ornua Purchase Price Index (PPI), IFA National Dairy Committee chairman Tom Phelan highlighted the indicators in favour of a price boost.

“All these facts point to steadily improving returns from the market place – justifying better farm gate milk prices, because there is a good balance between slower milk supply with low stocks, and solid demand growth,” Phelan said.

“There can be no justification for Irish co-ops not to move on the November milk price – when the lowest payers are nearly 3c/L below the Ornua PPI,” he said.

“This month, our message to co-op board members is clear: Stop dragging your heels on milk prices, and pay farmers the extra 1 to 2c/L on November milk that their cash flow is crying out for,” the dairy chairman concluded.