Kerry Group has announced a base milk price of 32c/L including a further 3c/L milk contract payment, inclusive of VAT for qualifying September supplies, representing a combined price of 35c/L, which is unchanged since August.
This is based on constituents of 3.3% protein and 3.6% butterfat.
The September milk price at EU standard constituents of 3.4% protein and 4.2% butterfat is 38.44c/L.
Based on Kerry’s average milk solids for September, the processor said that the milk price return, inclusive of VAT and bonuses, is 41.91c/L.
“While increasing butter and skim futures seem to be reflecting some concern around dairy commodity supply for next year, demand continues to underwhelm in the short-term,” the processor has stated.
“The supply side, in terms of milk volume has softened across the major exporters, but an increase in milk solids is also dampening some of the anticipated market effect,” it added.
Kerry forward price scheme
Last week, Kerry Group announced a new forward price scheme offer to milk suppliers, which would set a price of 38.5c/L inclusive of VAT, a significant increase on the price it was offering in its previous scheme.
This would be at constituents of 3.6% butterfat and 3.3% protein and the scheme applies for the period March-October 2024.
Other milk price announcements
Kerry Group is the second processor to announce no change to its September milk price from the previous month.
Last week, Lakeland Dairies announced a base price for September supplies of 34c/L at constituents of 3.6% butterfat and 3.3% protein, for suppliers in the Republic of Ireland.
The base price was unchanged from the price paid in August.
In Northern Ireland, a base price of 27.25p/L will be paid for milk supplied in September. Again, the base price was for September supplies.