Dairygold Raises August Milk Price to 39c/L

Dairygold’s board has set the co-operative’s quoted price for August milk at 39c/L. The figure is 0.5c/L higher than the previous price and is calculated using standard constituents of 3.3% protein and 3.6% butterfat. It includes VAT together with sustainability and quality payments.

The company said the August price corresponds to an average farm-gate return of 46.7c/L, based on the average milk-solids content achieved by its suppliers. Using the European Union’s standard constituents of 3.4% protein and 4.2% butterfat, Dairygold’s August quoted price is 42.8c/L, also including VAT.

Pat Clancy, Dairygold’s chairperson, said dairy-market sentiment had improved in recent weeks. He attributed that improvement primarily to returns from protein and cheese, as well as slower growth in European milk supplies. “The Dairygold board continues to monitor markets closely and will review milk price on a monthly basis,” Mr Clancy said.

Kinisla also announced an increase of 0.5c/L for milk supplied in August. Its price has been set at 39.6c/L, inclusive of VAT and bonuses for quality and sustainability.

Lakeland Dairies was the first processor to announce its August price. In the Republic of Ireland, it will pay a base price of 39.1c/L for August milk, including VAT and calculated on standard constituents of 3.6% butterfat and 3.3% protein. In Northern Ireland, Lakeland will pay 31.4 pence per litre for August supplies; that price also includes the Sustainability Incentive Payment.