Lakeland Dairies has become the first processor to reveal its milk price for August supplies after its board met recently.
The processor has decided to hold its price for milk produced last month; it will pay its suppliers 32.78c/L including VAT for the second month in a row.
This follows on from Lakeland’s decision to increase its price by 1c/L for July milk.
While milk powder prices have improved, butter prices have weakened “significantly” in the past month, the processor outlined.
In a statement, it said: “Recognising the difficult conditions experienced by dairy farmers as a result of the extended period of very dry weather during the summer, last month Lakeland introduced a €20/t discount on every tonne of fertiliser bought by milk suppliers and shareholders in the Republic of Ireland – effective from August 1.
This €20/t discount will continue to apply until the end of the fertiliser spread season.
The co-operative has reported “strong take-up” of the measure where dairy farmers are taking the opportunity to grow more grass during this reasonable spell of weather.
Lakeland is also surveying dairy farmers to identify fodder stocks and requirements and to assist with overall planning for winter fodder supplies.
Concluding, the processor outlined that it will “continue to pay the highest possible milk price in line with market conditions”.
Other processors are expected to announce their respective milk prices for August supplies in the coming days and weeks.