Dairygold has confirmed that it has reduced its milk price for February supplies.
Following a meeting of the board today (Tuesday, March 19), the co-operative has confirmed that its base price for February milk supplies is 31.19c/L including VAT and bonuses.
This is based on standard constituents of 3.3% protein and 3.6% butterfat,
This equates to a farm gate milk price of 35.98c/L based on average February milk solids for Dairygold milk suppliers, the representative added.
“Dairy markets have retreated, with butter returns falling and, while protein returns have increased, they are not compensating for the fall in butter returns.
The Dairygold board reviews milk price on a monthly basis. The society has supported milk price over market returns for many months which is not sustainable.
“Unfortunately, it is now necessary to bring milk price closer to market returns,” the co-op spokesperson concluded.
Other processors
On Friday, Aurivo announced it will pay a price of 32c/L for February milk, according to a spokesperson for the co-operative.
This is inclusive of a 1.5c/L unconditional early calving bonus. The 30.5c/L base price has been held from last month.
Meanwhile, Kerry also announced a cut to its February milk price.
Based on average February milk solids, the price return including VAT and bonuses is 35.56c/L.
Glanbia Ireland (GI) has maintained its base milk price for February at 30c/L including VAT, for manufacturing milk at 3.6% fat and 3.3% protein, which it says is “in line with current market returns”.
GI will also make an interim market payment of 1c/L (including VAT) on all February milk supplies (excluding Fixed Milk Price Schemes paying above 31c/L).
Glanbia Co-op will make a support payment to members of 0.5c/L, including VAT.
Meanwhile, Lakeland has held its milk price for February.
A spokesperson for Lakeland said: “The European market has weakened both for skim milk powder and butter in recent weeks.”