Milk prices bounce as demand lifts
Town of Monaghan has followed Kerry's lead to set a milk price of 27c/l including VAT for March supplies.
Further March price increases are expected from other co-ops later this week as international dairy markets continue to improve.
As we went to press the Glanbia board was meeting, with some members speculating a lift from the 26c/l paid for February supplies was likely.
The boards of Dairygold, Lakeland and Connacht Gold are due to meet in the coming days.
However, the Irish Dairy Board (IDB) has decided against raising March returns for butter and skim milk powder (SMP).
While demand for butter has improved over the past three months, the IDB has held its price at €2,600/t, while SMP has stayed at €2,000/t.
IFA dairy chairman Kevin Kiersey has urged co-ops to commit to further lifts in milk price to at least 28c/l including VAT, before peak production begins in May.
He described the 21pc rise in milk powders and butter oil in the recent Fonterra trade auction as the clearest sign yet that the market recovery which started a few weeks ago was far more than a flash in the pan.