Dairygold has maintained its August Quoted Milk Price unchanged at 30.69cpl.
It says the price is based on standard constituents of 3.3% Protein, 3.6% Butterfat, inclusive of bonuses and VAT and equates to an average farm gate milk price of 35.06cpl based on average August milk solids, achieved by its suppliers.
However it warned that global market supplies are building once again and dairy market demand has eased over recent weeks.
"As is customary, the Board will continue to review milk price on a month by month basis," it said.
It comes as the move by Kerry Group, Glanbia and Lakeland Dairies to maintain August milk prices at 30-31c/l has been broadly welcomed by the farm organisations as an indicator that returns should hold or improve to the end of the season.
Kerry increased its August milk price by 0.5c/l to 31c/l, Glanbia increased its milk price by 0.5c/l to 30.6c/l, while Lakelands held at 31c/l in the Republic and is paying 25.25p/l to its Northern suppliers.
Both Glanbia and Lakelands said European dairy markets remained stable, but cited the increased uncertainty around Brexit as a worrying development.
However, John Lancaster, head of EU dairy consulting at StoneX, said the outlook on futures’ markets for European dairy commodities remains firm.
Warm weather through August hit milk supplies and retail sales improved as a consequence, Mr Lancaster explained.
While there has not been a lot of upward price pressure, he said retail and service markets had recovered from lockdown and were “running at fairly normal levels”.
Dutch dairy auction prices remain steady at €3,400/t for butter, €2,120/t for SMP, and €2,700/t for WMP.
A possible source of concern was the impact of Covid-19 on medium-term demand for dairy produce in the Middle East and North Africa, Mr Lancaster said.
However, the ICMSA pointed out that Irish milk prices continue to lag European averages and claimed that higher returns were merited.
ICMSA’s Gerald Quain said the price rises announced by Kerry and Glanbia were welcome and were a recognition that European retail sales had improved post-lockdown.
"The markets for butter, SMP and WMP all look reasonably positive and we believe demand will move steadily forward in Q4 prompting further milk price increases,” Mr Quain maintained.