Glanbia, Kerry, Aurivo roll out fixed milk prices
Glanbia has confirmed that it will hold its manufacturing milk price to at least 30.5c per litre (including Vat) for the first three months of 2015 for suppliers who have signed their milk- supply agreement. Aurivo has also frozen its price at 30.5 a cent per litre for January milk.
From March 1, Kerry Group milk suppliers can opt for a fixed-price milk of 34c, Vat inclusive, for up to 20% of their annual supply in 2015, 2016, and 2017. In a letter to suppliers last week, the company says it will offer the scheme to its 3,600 suppliers, to build a sustainable milk supply base.
Glanbia Ingredients Ireland has also announced its fifth Index-Linked Fixed Milk Price Scheme. This voluntary scheme is available to suppliers who have signed a milk supply agreement and will run from April 2015 to March 2018.
At standard constituents and including Vat the base milk price under the scheme is set at 32.61c; at average Glanbia constituents, the base milk price would equate to 34.5c.
Details of the scheme will be circulated to suppliers in the coming weeks.
