RTÉ to reveal how dairies milk their customers

CONSUMERS have been ripped off to the tune of millions by an allegedly illegal milk cartel, a television programme will claim tonight.

RTÉ’s Prime Time programme will name the country’s largest liquid milk processor, Glanbia, as the driving force behind the price-fixing cartel.

But last night Glanbia strongly denied that it is, or has ever been, part of any price-fixing cartel.

Dairygold, which markets its milk in the some areas under the CMP brand, was also central to the operation of the cartel, according to the programme.

There was no comment last night from Dairygold on the Prime Time revelations, whichwill be broadcast on RTÉ1 at 9.30pm.

Prime Time says it will also detail evidence of a separate allegation of a ‘market-rigging’ cartel.

This again involves Glanbia brands and two western-based dairies, NCF Sligo Dairies and Oranmore.

“The programme details how the three dairies were involved in deals to geographically carve up the market, doing deals to swap areas between them, creating a ‘market-sharing’ cartel,” a spokesperson for the programme said.

To back up its claim, it will reveal a range of documents that show the systematic operation of both price-fixing and market-sharing.

Prime Time claims the documents show that executives from competing dairies contacted each other and held talks in a bid to raise the price of milk.

This went on even after price-fixing became a criminal offence.

Experts consulted by the programme agree that the documents are clear evidence of a cartel within the milk industry.

Glanbia stated last night that these allegations are related to a Competition Authority investigation of the liquid milk industry in 1998.