Arrabawn Co-op continues to explore its options
Arrabawn Co-op has confirmed that they have been exploring processing options with neighbouring dairy processors in the past year.
The co-op's chief executive, Conor Ryan, told shareholders attending the AGM last week that he remained "open to discussions with any processor" in the pursuit of a better milk price for their 950 suppliers.
The well attended meeting was dominated by outspoken suppliers concerned about the processor's poor standing in national milk price rankings.
One supplier said that he was €5,500 worse off supplying milk from his 80-cow herd to Arrabawn than if he supplied a neighbouring co-op.
Another pointed out that a milk price that was just 2c/l lower than another co-op would result in €30,000 per day less being paid to Arrabawn suppliers.
However, Mr Ryan claimed that there had been "little or no difference between Arrabawn's price and the top players last year."
Concerns were also voiced over the possibility of suppliers leaving the co-op in search of better returns.
"There is going to be huge changes whether we like it or not. If 10pc of the suppliers or 10pc of the milk left Arrabawn – there is a large possibility it is going to happen – the overheads are going to be the same. As farmers get bigger they are looking at different milk processors," said another supplier.