Arrabawn Increases August Milk Price Amid Rising Market Trends

The board confirmed a price rise of 1.25c/L, bringing the total to 47.15c/L for standard milk constituents of 3.3% protein and 3.6% butterfat. This marks an increase from the 45.9c/L paid in July. The August milk price includes a 0.5c/L sustainability incentive payment, reinforcing the company’s commitment to rewarding environmentally responsible practices.

Broader Industry Movements
The announcement from Arrabawn follows similar adjustments from other major processors:

Tirlán confirmed a payment of 46.33c/L, including VAT, for August creamery milk supplies. This reflects an increase of 1.5c/L over the July price.

Dairygold raised its August milk price by 1.25c/L, resulting in a total payment of 45.75c/L, inclusive of sustainability and quality bonuses.

Carbery Group increased its milk price by 3c/L, potentially leading to an average price of 48.03c/L across the four west Cork co-ops. This figure includes VAT, a somatic cell count (SCC) bonus of 0.5c/L, and the FutureProof sustainability bonus.

Kerry Dairy Ireland announced a price increase to 45.25c/L, up from 44c/L in July, for supplies with standard constituents.

Lakeland Dairies also raised its price by 1.25c/L, now offering 46.5c/L inclusive of a 0.5c/L Sustainability Incentive Payment.

Industry Outlook
As processors across the board continue to raise prices, the upward trend reflects both market demand and a growing emphasis on sustainability incentives. Processors like Arrabawn and others are not only responding to economic conditions but also reinforcing long-term commitments to sustainability through incentive-based payments, which are increasingly becoming a standard feature in milk pricing structures.

This continued upward momentum in milk prices signals a positive outlook for dairy farmers, offering a stable return as global dairy markets remain firm.