Demand for milk quota to continue

AIB expects demand for milk quota to remain strong in the latest round of trading. This follows the disappointment felt by many farmers after the October exchange, where on average across co-ops there was almost three times as much quota sought as was for sale.

“It has been a remarkable year for dairy farmers. The combination of strong demand resulting from a number of coinciding factors resulted in a sharp upward pressure on prices. The current and likely future on the international dairy sector is encouraging many Irish farmers to expand production,” said AIB.

Despite quota prices rising in the last exchange, 66 million litres of quota were successfully traded.