Glanbia reveals December price rise and seasonality bonus details
Glanbia has announced that it will increase its milk price for December supplies, following a meeting of the board earlier today, Tuesday, January 14.
The processor revealed it will pay its member milk suppliers 31c/L including VAT for December manufacturing milk supplies at 3.6% butterfat and 3.3% protein.
Glanbia Ireland (GI) will pay a base milk price for December of 30c/L including VAT for manufacturing milk at 3.6% fat and 3.3% protein.
The board will continue to make a support payment to members of 1.c/L including VAT for December milk supplies, a spokesperson added.
The Glanbia Ireland base price and the Glanbia Co-op support payment will be adjusted to reflect the actual constituents of milk delivered by suppliers.
Glanbia chairman Martin Keane said: “Global milk supply growth in 2019 was moderate, which has helped market sentiment.
However, milk solids have continued to rise at a faster pace than volume growth. The global protein market has firmed, while the butterfat market is still seeking equilibrium.
“The board will continue to monitor developments on a monthly basis.
“Over the coming weeks we look forward to meeting with as many of our shareholders and suppliers as possible at nine information meetings being held across our catchment area,” the chairman concluded.
Glanbia Ireland has announced details of a new Early Calving Bonus and Late Supply Bonus for creamery milk suppliers.
- A new Early Calving Bonus (ECB) of 4c/L including VAT will be paid on all milk supplied by creamery milk suppliers in January, while February milk will qualify for an ECB payment of 3c/L including VAT;
- A Late Supply Bonus (LSB) of 2c/L including VAT will be paid on all milk supplied by creamery milk suppliers in December 2020;
- Both the ECB and the LSB will be adjusted to reflect the constituents of the milk delivered.
Subject to an annual review by the board, the ECB/LSB will run for three years (2020, 2021 and 2022).
In order to qualify for the ECB and LSB, the quality requirements as set out in the Glanbia Ireland Milk Purchasing Policy must be adhered to.