Superlevy fines of 28.66c per litre over quota warning from Lakeland Dairies
Superlevy fines of 28.66c per litre over quota are now inevitable for suppliers to Lakeland Dairies. This is according to the Cavan-based processor, which has seen a 18.5 per cent increase in January milk output versus this time last year.
In its latest newsletter the processor outlined it currently is 3.7 per cent over quota, which is approximately 15 million litres over the collective milk quota allocation of its membership.
In addition, it said with the supply for February to date also up on last year’s equivalent, fines for its members will be unavoidable.
Lakeland is also stressing suppliers must to all they can to reduce the exposure and reduce the superley fines that will have to be paid to the EU. “Provisional superlevy deductions have increased and are continuing from suppliers over their full quota. It is the responsibility of each supplier to manager their quota,” it added.
Earlier this week, Agriculture Minister Simon Coveney urged suppliers to take stock of their milk supply and continue their efforts to reduce output.
The total volume of milk supplies up to the end of January 2014, taking into account the relevant butterfat adjustment, has left Ireland 1.52 per cent over quota at end January.
There is just six weeks of production still to go until the March 31 deadline.