Glanbia Ireland confirms Fixed Milk Price Scheme
Glanbia Ireland (GI) has launched a new Fixed Milk Price Scheme with a base price of 31c/L including VAT at reference milk constituents of 3.6% butterfat and 3.3% protein.
The one-year voluntary scheme will run from January to December 2020, the processor said.
According to GI, the key elements of the scheme (Phase 14) include:
- A base price of 31c/L including VAT at 3.6% butterfat and 3.3% protein;
- Any support payment made by Glanbia Co-operative Society to members would be paid on top of the fixed milk price;
- Qualifying applicants for the one-year scheme will be required to be customers (existing or future) of GI Agri;
- As a customer of GI Agri, applicants will be required to commit to a minimum spend of 5c/L on farm inputs during 2020.
Commenting on the scheme, Sean Molloy, chief agri-business growth officer with GI, said: “There is strong interest among suppliers in Fixed Milk Price Schemes as they provide an opportunity to fix the price of a portion of milk supply to protect against market volatility.”
October milk price
Meanwhile, yesterday, Glanbia announced its decision to hold its milk price; the processor will pay its member milk suppliers 29c/L including VAT for October manufacturing milk supplies at 3.6% butterfat and 3.3% protein.
The board of Glanbia Co-op will continue to make a support payment to members of 1c/L including VAT for October milk supplies.
The GI base price and the Glanbia Co-op support payment will be adjusted to reflect the actual constituents of milk delivered by suppliers, the processor said.
The processor’s chairman Martin Keane said: “There has been a welcome improvement in the price of dairy proteins on global markets, while cheese is stable and the European butter market remains fragile.”