Co-op shareholders told cheap milk from the North creating difficulties

CHEAP milk from Northern Ireland is creating difficulties, the annual general meeting of Arrabawn Co-op was told in Portumna, Co Galway, yesterday.

Shareholders heard the co-op had an operating loss of e1.6 million in 2008 and must get back into profitability as soon as possible. Chairman Michael Flaherty said a notable feature in the liquid milk market is a significant shift to own label milk in the retail sector and a swing away from well-known brands.

“This is resulting in an erosion of our margin, and when this is coupled with the continued growth of imports of cheap milk from Northern Ireland it is creating very difficult conditions for us in what were traditionally strong markets”, he said.