Irish Dairy Co-ops See Increase in April Milk Prices

In April, Ireland's dairy cooperatives experienced notable changes in milk pricing, with several co-ops adjusting their base prices upward. The Milk Price Tracker, a collaboration between Agriland and the Irish Creamery Milk Suppliers’ Association (ICMSA), reported these developments, highlighting the stability and slight increases in prices from the country's major dairy co-ops.

Strathroy Dairy recorded the most significant increase, boosting its base milk price by 1c/L, resulting in a new price of 37.24c/L. Lakeland Dairies and Aurivo followed, each raising their prices by 0.75c/L. ArraTipp and Boherbue also contributed to the upward trend, with increases of 0.62c/L and 0.47c/L, respectively. Consequently, the average base milk price for April reached 37.24c/L, reflecting a positive movement in the dairy market.

The Carbery Group's co-ops—Lisavaird, Drinagh, Bandon, and Barryroe—maintained their positions at the top of the price rankings. Conversely, Dairygold continued to offer the lowest base price among the co-ops surveyed.

Globally, the dairy market experienced mixed results. The Global Dairy Trade (GDT) index saw two consecutive increases prior to a recent 0.6% decline, with an average price of €3,453 per ton at the June 2 sale.

Additionally, Ornua's Purchase Price Index (PPI) for April rose to 127.0, up from 121.9 in the previous month. This increase aligns with the peak milk production period, which is now tapering off.

Alongside the base price hikes, various bonuses and penalties were noted. For instance, Aurivo offered a 0.95c/L weather support bonus, and Carbery Group provided a 2c/L bonus to its four West Cork co-ops. Sustainability incentives were also prevalent, with multiple co-ops offering bonuses for meeting specific environmental and quality measures.

The adjustments in milk prices and associated bonuses highlight a dynamic period for the Irish dairy sector, as co-ops respond to both local and global market conditions.