Hundreds of farmers turned out to a meeting in Co. Cork to voice their concerns with Dairygold over a recent milk price cut - with fears of more to come.

Dairygold invited all members to an information meeting in the Firgrove Hotel in Mitchelstown today (Thursday, September 25).

The co-op said the meeting was to provide it with an opportunity to update members on the recent significant reduction in certain global dairy market prices, and the related impact on milk price.

Dairygold cut its milk price by 3c/L for August supplies - and has told Agriland that this downward trend is projected to continue into Q1 2026.

The latest price drop sparked outrage among farmers and lead to a demonstration outside Dairygold offices last Friday.

At last Friday's event, the 'Concerned Dairygold Shareholders Group' presented a letter on behalf of member suppliers outlining a number of concerns related to milk price, among other matters.

The group of farmers stated that the 3c/L price cut for August supplies "has cost the average supplier €1,600" for the month.

One of the members of the Concerned Dairygold Shareholders Group, Nigel Sweetnam, said that the meeting in Mitchelstown today at which a number of key Dairygold leadership attended was "constructive" overall, with many farmers voicing their concerns.

Sweetnam, who is also the Irish Farmers' Association (IFA) poultry chairperson, said however that despite discussions taking place at the meeting, farmers are still "shocked" at the milk price cut and remain concerned there are more decreases to come.

It is estimated there were well over 600 farmers in attendance at the meeting, and Sweetnam said some of key concerns for many suppliers relate to "communication" from the co-op, its representative structure, along with a low base milk price.

In a statement following today's meeting, Dairygold said it had given society members a "very comprehensive and detailed account of the significant reduction in certain global dairy market prices, and the related impact on milk price".

In a presentation to relation to its recent milk price decision, Dairygold chief executive, Michael Harte confirmed: “Dairygold sells a significant volume of commodity dairy products on international markets.

"The speed and extent of the decline in prices for key Dairygold products in those markets over the four weeks since the previous board meeting were much greater than anticipated.”

Dairygold said that from August 13 to September 17, butter price fell by 20%, from €7,000 to €5,600 or €1,400 per tonne, while cheese price fell by 10.4% from €4,410 to €3,950 or €460 per tonne.

"The result was that at the time of the milk price decision, key Dairygold products saw market prices fall by well over 3 c/L," Harte said. 

"Dairygold produces a high volume of cheese, including mature cheddar, which was produced with milk purchased earlier in the year and now the finished product has to be sold into a declining market."

The processor said it understands the "impact that this difficult decision will have on our milk suppliers - it is a significant reduction".

"However, Dairygold had to take account of the market returns and align its milk price accordingly.

"Dairygold set an August quoted milk price of 45c/L, based on standard constituents, which equates to an average farm gate price of 52.7c/L, based on the average milk solids, achieved by Dairygold milk suppliers in August."