Co-op to pay bonus on February milk to spread supply more evenly

Tipperary Co-op is to pay its suppliers a 3c per litre bonus on February milk from 2014 onwards in a bid to shift some production out of the peak summer months.

The bonus is one of a number of measures aiming to spread milk supply into off-peak “shoulder” months.

Based on supplier responses, Tipperary expects to process 25%-35% extra milk in 2015, and anything up to 50% by 2020. It already has the processing capacity in place.