Dairygold has become the latest processor to pull back on milk price, after similar announcements this week from Kerry Group and Lakeland Dairies.
In an announcements today (Friday, February 17), Dairygold confirmed a milk price of 52c/L, based on standard constituents of 3.3% protein and 3.6% butterfat, including VAT and sustainability and quality bonuses.
In addition to that price, a January early calving bonus of 3.15c/L, including VAT, will be paid on all qualifying milk supplied in January, in accordance with milk quality criteria, the agri-business said.
This brings the January quoted price for milk qualifying for the early calving bonus to 55.15c/L.
This price will equate to 64.2c/L on average January milk solids supplied by Dairygold suppliers.
A spokesperson for the processor said: “Dairy markets have weakened considerably in recent months, caused by an increase in global milk supplies and reduced demand driven by higher inflation.
“Weakened dairy market conditions will continue to impact milk price over the coming months. The Dairygold board will continue to monitor markets closely and review milk price on a month-by-month basis,” the spokesperson added.
Earlier this week, both Kerry Group and Lakeland announced similar cuts to milk price.
Kerry announced a price of 50c/L, including VAT, for milk at 3.3% protein and 3.6% butterfat.
This price is a decline of 6c/L on the 56c/L price announced last month for December milk.
Based on the average milk solids from Kerry Group suppliers for January, the average price per supplier, including VAT and bonuses, is 58.84c/L.
Lakeland, meanwhile, also announced a 6c/L cut in price for its suppliers.
The price for Lakeland suppliers in the Republic is Ireland is 52.85c/L, including VAT, for milk at 3.6% fat and 3.3% protein.
This figure includes an input support payment of 1.5c/L, including VAT, for all suppliers.
Aside from this price, an early calving bonus of 1c/L will apply for all milk supplied in January.
In Northern Ireland, Lakeland reduced its milk price by 5p/L to 42.5p/L, which also includes an input support payment of 1.5p/L.