Dairygold rejects ‘ludicrous’ claims

I REFER to recent coverage of the affairs of Dairygold Co-op Society Ltd in your newspaper and the damage being generated by needless scaremongering.

There have been wholly unfounded references to a “crisis” within the business and other ludicrous claims.

Such reporting can only engender unjustified fear and anxiety among our members and staff at a time when the economic downturn is already causing people enough problems.

The recent announcement of a cut in the milk price by Dairygold simply reflects the realities of the marketplace and not any difficulties within the society. Over the past number of years Dairygold has been supporting its members by paying a leading price for milk, a price in excess of the returns available from the market.

It was with considerable regret that the board took the decision to reduce the milk price to reflect market reality. The significant decline in dairy market returns and the consequent fallout has been well publicised by all industry parties, including IFA, ICMSA and ICOS. Urgent action is required from the Government and the EU to ensure dairy market returns increase to a level that will allow the milk price to increase above the cost of milk production at farm level. Hopefully in the near future upward trends in commodity prices will lead to increased returns for dairy products to enable an increase in the Dairygold milk price once again.

Meanwhile, Dairygold is simply getting on with its business in the normal manner serving its members to best possible effect.

Newspapers bear a great responsibility not to sensationalise events purely for the purpose of headlines and boosting circulation. I would hope the Irish Examiner, which has upheld the very finest traditions of the press throughout its long and distinguished history, would bear this in mind in its future coverage of Dairygold Co-op and its business on which many people rely for their livelihoods.

Eamonn Looney

Secretary

Dairygold Co-op Society Ltd

West End

Mallow

Co Cork