Farmers not prepared to take any more milk-price cuts, says IFA dairy chairman

The mood of farmers has changed to one of deep concern at the disappearance of their profitability, as the end of the market downturn drags on.

Their message is clear: They cannot take any more milk-price cuts, and expect their co-ops to look to internal savings and even lower their margins if necessary.

Dairy farmers have suffered 11c/l worth of milk- price cuts in the last 13 months, from about 39c/l incl VAT last April 12-months to 28c/l incl Vat for May 2015. That’s a 28% cut in price, but a 78% cut in margin. This is what we mean when we speak of extreme volatility.