Dairygold cuts price to 24c/l
Dairygold is the only major milk processor to cut milk prices for February, with the Cork-based co-op dropping its payment by 1.5c/l to 24c/l, including VAT.
The 6pc price cut leaves it on par with Glanbia at the bottom of the national milk price league. Glanbia suppliers that have signed milk supply agreements continue to receive a 1c/l top-up from the co-op, which has stated that it is putting aside €21m to support milk prices by 1c/l throughout 2016.
In addition, the Glanbia co-op is paying out over €10m in special dividends to suppliers, and offering rebates on feed and grain purchased or supplied during the year.
Glanbia and Dairygold have the largest milk pools in the country, accounting for nearly half of all the milk processed in the Republic.
However, most of the other processors are beating the big two on milk prices so far during this crunch year of weak dairy markets.
Carbery and Lakeland Dairies suppliers continue to put some distance between themselves and the rest. The west Cork outfit held their January price for February at 27c/l, while the Border processor is paying 27.25c/l.
Arrabawn is next in the ranking at 26c/l, while Aurivo are close behind on 25.5c/l.
However, it is the Kerry price of 25c/l that is generating most heat among farmers this week, with suppliers accusing the southwest food giant of not living up to its promise of paying out a "leading milk price".