Kerry Group has today (Wednesday, September 14) announced that its base price for August milk supplies will remain unchanged compared to July.
The processor will pay a base price of 56c/L at 3.3% protein and 3.6% butterfat, and inclusive of VAT.
On standard EU constituents of 3.4% protein and 4.2% butterfat, the August price is 61.28c/L.
Based on Kerry’s average milk solids for August, the processor said that the milk price return inclusive of VAT and bonuses is 62.06c/L.
Similar to last month, Kerry Group confirmed that it will pay suppliers an additional 1.5c/L at 3.3% protein and 3.6% butterfat on August milk volumes.
The processor said that this is part of its “contractual commitment”.
The statement also confirmed a further payment for Kerry suppliers on fixed milk-price contracts.
“An ex-gratia payment of 1.5c/L, inclusive of VAT, at 3.3% protein and 3.6% butterfat, will be made on milk volumes supplied under fixed price contracts in August.”
Lakeland Dairies yesterday became the first processor to announce its milk price for supplies in August.
The processor has opted to hold its Republic of Ireland base price at 57.35c/L, including VAT, at 3.6%fat and 3.3 %protein.
However, a input support payment of 1.5c/L will also be made to all suppliers, including those on fixed milk price contracts.
This bring the minimum price for milk at standard constituents to 58.85c/L.
The average payout to suppliers in the Republic of Ireland for August milk will be 63.6c/L, the processor said.
Similarly, in Northern Ireland, Lakeland has decided to hold its base price at 46p/L but introduce a 1.5p/L input support payment there as well.
Lakeland said it will pay out 48.98p/L on average for August milk in Northern Ireland, including adjustments for constituents and quality, volume bonuses and zero cartage charges.