IFA, ICMSA unhappy that €41m package proposed from co-op funds

CONFLICT in Glanbia may continue, despite the plc’s announcement of a €22m April milk price increase, and Glanbia Co-op announcing a three year, €41 million package of member benefits.

According to IFA National Dairy Committee Chairman Richard Kennedy, Glanbia Plc has increased their April producer milk price by 1.32c/l (6c/gal) up to 25.22c/l plus VAT. But a proposed additional 0.66c/l (3c/gal) to be paid retrospectively from January would come from Glanbia Co-op. Mr Kennedy said the full proposed 1.98c/l (9c/gal) April price increase should come from the Plc.

Glanbia Co-op owns 54.8% of Glanbia plc. A co-op special general meeting will be necessary in mid-year, where farmers will be asked to vote on the proposed €41 million in 2007, 2008 and 2009 for milk price, grain bonuses, a spin-out of 1.6 million Glanbia plc shares, and a guaranteed 4% dividend on co-op shares.