Lakeland Dairies is the first milk processor to reveal its price for November supplies, announcing that it has dropped its base milk price.
Lakeland suppliers will be paid 32.06c/L including VAT and lactose bonus for their November milk supplies.
This is a 1c/L reduction on its October milk price.
Meanwhile, the co-operative will pay 26.5p/L to its Northern Irish suppliers, plus an out of season bonus of 3p/L for November milk supplies.
A statement issued by Lakeland Dairies noted that global cream and butter markets have become decidedly weaker in recent months and that butter prices have fallen by over €1,000 per tonne since September.
The statement explained that milk supplies have generally been strong and were up by 20% in October compared to the same time a year ago.
Year to date, milk supplies have generally been strong and were up by 20% in November compared to the same time a year ago.
Lakeland Dairies said it will continue at all times to pay the highest possible milk price in line with market conditions.
Future cull warning if emissions don’t drop
The EU Commissioner for Agriculture and Rural Development, Phil Hogan, has warned that further culling of dairy herds will occur if environmental obligations are not reached by member states.
Speaking at a European Commission Ag Press seminar in Brussels last week, Commissioner Hogan cautioned that member states that are driving ahead on dairy expansion should be mindful of the significant cull enforced on the Netherlands last year, as the country consistently exceeded its phosphorus limits.