Kerry Group has announced an increase in the base milk price for supplies during the month of November.
The processor today (Tuesday, December, 14) announced that the base price will increase to 38.25c/L including VAT at constituents of 3.3% protein and 3.6% butterfat.
That is an increase of 1.25c/L compared to the October price of 37c/L, which itself was an increase of 1c/L on the previous month.
At European standard constituents of 3.4% protein and 4.2% butterfat, this base price translates to 41.98c/L including VAT.
Kerry Group average milk price
Based on Kerry’s average milk solids for November, the milk price return inclusive of VAT and bonuses will also increase.
Kerry Group said that the average milk price return will be 49.28c/L based on suppliers’ average milk solids for November, inclusive of VAT and bonuses.
That is up from 46.93c/L in October.
Lakeland milk price
Yesterday, (Monday, December 14) Lakeland Dairies was the first processor to announce a milk price for November.
In the Republic of Ireland, Lakeland Dairies has increased its milk price by 1.22c/L and will pay a base milk price of 39.22c/L, including VAT, for milk at 3.6% fat and 3.3% protein.
In Northern Ireland, Lakeland Dairies has increased its milk price by 1p/L and will pay a milk price of 31.5p/L.
In a statement Lakeland Dairies said: “Global dairy markets remain stable with currently reliable levels of demand overall and a lower rate of growth in supply from the main dairy producing regions.
“Strong demand and consumption in Asia continues to be a positive factor.”
Lakeland Dairies added that it will continue to monitor the market closely in the coming weeks.
Meanwhile, after more than two years of uninterrupted growth, global milk production is down, with growth expected to dip into negative territory in the final quarter of 2021.
According to a recent dairy report from Rabobank, global milk supply growth halted in the second half of the year, bringing the market to levels not seen since 2014.