Drop in Dairygold milk price
Weakened dairy market conditions will continue to impact milk price over the coming months, a Dairygold spokesperson said.
Dairygold has announced a drop in its milk price for January milk.
It has reduced its quoted milk price by 6c per litre to 52c per litre, based on standard constituents of 3.3% protein and 3.6% butterfat, inclusive of sustainability and quality bonuses and Vat.
In addition, Dairygold said that the January early calving bonus of 3.15c per litre including Vat will be paid on milk supplied in January in accordance with milk quality criteria.
Therefore, milk supplied in January that qualifies for the early calving bonus will have a quoted milk price of 55.15c per litre.
The January milk price equates to an average January farm gate milk price of 64.2c per litre, based on average January milk solids, achieved by Dairygold milk suppliers.
The price for January based on EU standard constituents of 3.4% protein and 4.2% butterfat is 56.7c per litre.
A company spokesperson said that dairy market prices have weakened considerably in recent months, caused by an increase in global milk supplies and reduced demand driven by higher inflation.
"Weakened dairy market conditions will continue to impact milk price over the coming months," the spokesperson said.
"The Dairygold board will continue to monitor markets closely and review milk price on a month-by-month basis."
Lakeland Dairies was the first processor to announce a 6c cut to milk price for January supplies.
In the Republic of Ireland, Lakeland has reduced the milk price by 6c per litre to 52.85c inclusive of Vat, for milk at 3.6% fat and 3.3% protein.
The January price includes an input support payment of 1.5c per litre, inclusive of Vat, for all suppliers.
In Northern Ireland, Lakeland has reduced the milk price by 5p per litre to 42.5p per litre.
The January price includes a supplementary input support payment of 1.5p per litre.
Meanwhile, the Kerry Group base price for January milk is 50c per litre (Vat included) at 3.3% protein and 3.6% butterfat, a drop from the base price of 56c per litre for December milk supplies.
For January milk, the price is 54.76c per litre (Vat included) at EU standard constituents 3.4% protein and 4.2% butterfat.
Based on Kerry’s average milk solids for January, the milk price return inclusive of Vat and bonuses is 58.84c per litre.
