Irish Dairy Co-ops Urged to Boost Milk Prices
Source: The DairyNews
Amidst challenging conditions over the past year, Irish co-operatives are facing calls to uplift milk prices, offering dairy farmers a much-needed confidence boost. Noel Murphy, Chairman of the Irish Creamery Milk Suppliers Association (ICMSA) dairy committee, emphasized the positive trend in dairy product prices throughout February, continuing an upward trajectory since September of the previous year.
Highlighting the undeniable improvements, Mr. Murphy stressed the importance of translating these positive developments into increased milk prices for the benefit of farmer-producers. Expressing concern over the swift reduction in milk prices by co-ops in spring 2023, he urged for equally robust signals in the opposite direction to address the challenges faced by dairy farmers.
While acknowledging various early-season bonuses provided by milk purchasers, Mr. Murphy emphasized that a substantial improvement in base prices is essential to offset the removal of these bonuses. He argued that market conditions justify enhancements in the base price, particularly considering the persistently high inputs and regulatory restrictions burdening farmers.
The ICMSA noted a positive shift in dairy market sentiment throughout February, following a relatively stagnant January. This optimism is attributed to a weak global supply situation coupled with consistent demand. Despite a minor dip in the Global Dairy Trade this week, Murphy highlighted consecutive increases in GDT and European quotes. Notably, rising butter spot prices have propelled the markets to a 14-month high.
As co-ops prepare for the February round of milk price announcements, the call for an increase serves as a rallying cry to support dairy farmers amid ongoing challenges and market dynamics.
While acknowledging various early-season bonuses provided by milk purchasers, Mr. Murphy emphasized that a substantial improvement in base prices is essential to offset the removal of these bonuses. He argued that market conditions justify enhancements in the base price, particularly considering the persistently high inputs and regulatory restrictions burdening farmers.
The ICMSA noted a positive shift in dairy market sentiment throughout February, following a relatively stagnant January. This optimism is attributed to a weak global supply situation coupled with consistent demand. Despite a minor dip in the Global Dairy Trade this week, Murphy highlighted consecutive increases in GDT and European quotes. Notably, rising butter spot prices have propelled the markets to a 14-month high.
As co-ops prepare for the February round of milk price announcements, the call for an increase serves as a rallying cry to support dairy farmers amid ongoing challenges and market dynamics.
