5cpl milk price gap angers dairy farmers in poorer paying regions
In previous years, that gap would have been closer to 2cpl.
Barryroe topped the league at a monthly average price of 33.3cpl for 2012, with fellow West Cork co-ops Bandon, Drinagh and Lisavaird very close by.
At the bottom of the league were Arrabawn and Aurivo at less than 28.5cpl. Tipperary paid out 29.78cpl and Town of Monaghan paid out just over 30cpl. Glanbia, Dairygold, Kerry and Lakeland were all mid-range at around 31cpl-31.5cpl.
IFA national dairy committee chairman, Kevin Kiersey, said the trend was quite worrying, adding that dairy farmers were angry to see their industry colleagues in neighbouring co-ops getting a markedly better price.
“This trend is costing farmers a lot of money,” said Mr Kiersey. “It is not acceptable to have a 5cpl gap between the leading and the lowest price. The gap was far less in previous years. We are very concerned that the gap has grown to such an extent.
“Obviously, we’re happy to congratulate the West Cork co-ops for coming out on top of the league, but it is a deep concern for us that farmers in the poorer paying regions are being paid so badly.
“The boards in those co-ops really need to issue a very positive statement on their June milk price to bring some balance back into the equation.”
Mr Kiersey said Glanbia and Lakelands added 0.5cpl last month to bring their milk price up to 37.5cpl. The Town of Monaghan is paying around 37cpl. At the time of going to press, dairy farmers were still waiting on Kerry Co-op to announce the price it was paying farmers for milk supplied during June.
“We would encourage all co-ops to pay the maximum price for June milk,” said Kevin Kiersey. “This would help farmers to get through the tough months ahead. We think 38cpl is certainly payable. After the last very difficult 12 months, the co-ops have to take the appropriate action and deliver on milk price to suppliers.
ICMSA deputy president Pat McCormack said he expects announcements of a June milk price of 40cpl from co-ops and processors when they meet over the next few days to set their prices.
Mr McCormack, who is also chairman of the Dairy Committee, said that recent international auction prices and demand had demonstrated a consistent strength that had translated into the Irish Dairy Board announcing a rise in its index from 124.7 to 126.6. The ICMSA was now insisting upon a price of 40cpl for June milk as an absolute minimum.
“We are insisting that the co-ops and processors pay that to their milk suppliers who, as everyone know, are still in many cases reeling from the costs incurred during late spring’s fodder crisis” and who are also seeing their margins being steadily eroded.
