Lakeland Dairies has become the first milk processor to reveal its milk price for May supplies.

The processor announced its milk price following a meeting of its board earlier today, Thursday, June 11.

In the Republic of Ireland, a base price of 29c/L including VAT will be paid for milk supplied in May. The base price has been held from April.

In Northern Ireland, a base price of 23p/L will be paid for May milk. Again, the price has been held from April.

Commenting on the price, Lakeland Dairies said:

“After a near total wipe-out of the global dairy markets following the spread of the Covid-19 global pandemic, where prices fell to 2016 levels, there slowly appears to be stability returning to the market.

“As the entire food-service network shut down across Europe, milk destined for food-service flooded into the market for powders and butters which resulted in an oversupply and a subsequent collapse in prices.

“With Lakeland Dairies significantly exposed to the food-service sector, any reopening of the food-service sector has been limited.

A floor appears to have come into the market in recent weeks. However, prices remain well back on the start of the year prior to the spread of Covid-19.

“Lakeland Dairies will continue to monitor the market closely in the coming weeks and months ahead.”