Lakeland Dairies Increases Milk Price for July Amid Improving Market Conditions
Source: The DairyNews
Lakeland Dairies has announced an increase in the base milk price for July, reflecting positive shifts in global dairy market returns.
The board of Lakeland Dairies confirmed that the base price for milk supplied in July in the Republic of Ireland will be set at 45.25c/L, based on standard parameters of 3.6% butterfat and 3.3% protein. This price includes a 0.5c/L Sustainability Incentive Payment and represents a 1.75c/L increase from the previous month.
In Northern Ireland, the base price for July milk has been set at 37.3c/L, also inclusive of the 0.5c/L Sustainability Incentive Payment. This marks an increase of 1.5p/L from the previous month.
Market Outlook and Support for Farmers
Lakeland Dairies attributed the price increase to month-on-month improvements in global dairy market returns, with butter markets particularly showing stronger performance. The co-op emphasized its commitment to supporting farmers, stating, “Lakeland Dairies will continue to monitor the markets and will endeavor to support our farmers as best we can.”
The co-op also urged farmers to conduct fodder surveys to assess feed stock levels on their farms, especially in light of potential deficits. Lakeland Dairies’ member relations and agribusiness advisors are on hand to assist farmers in addressing any identified shortfalls.
Ornua Purchase Price Index (PPI) Update
Meanwhile, the Ornua Purchase Price Index (PPI) for July remained unchanged from the previous month, though the indicative price return has slightly decreased. The latest PPI suggests an indicative return of 41.1c/L, inclusive of VAT at 4.8%, for milk with 3.6% fat and 3.3% protein. This represents a decrease of 0.4c/L compared to June's return of 41.5c/L.
Ornua also reported that its value payment to member co-operatives for the month amounted to €7 million, equating to 3.9% of gross purchases for July.
In Northern Ireland, the base price for July milk has been set at 37.3c/L, also inclusive of the 0.5c/L Sustainability Incentive Payment. This marks an increase of 1.5p/L from the previous month.
Market Outlook and Support for Farmers
Lakeland Dairies attributed the price increase to month-on-month improvements in global dairy market returns, with butter markets particularly showing stronger performance. The co-op emphasized its commitment to supporting farmers, stating, “Lakeland Dairies will continue to monitor the markets and will endeavor to support our farmers as best we can.”
The co-op also urged farmers to conduct fodder surveys to assess feed stock levels on their farms, especially in light of potential deficits. Lakeland Dairies’ member relations and agribusiness advisors are on hand to assist farmers in addressing any identified shortfalls.
Ornua Purchase Price Index (PPI) Update
Meanwhile, the Ornua Purchase Price Index (PPI) for July remained unchanged from the previous month, though the indicative price return has slightly decreased. The latest PPI suggests an indicative return of 41.1c/L, inclusive of VAT at 4.8%, for milk with 3.6% fat and 3.3% protein. This represents a decrease of 0.4c/L compared to June's return of 41.5c/L.
Ornua also reported that its value payment to member co-operatives for the month amounted to €7 million, equating to 3.9% of gross purchases for July.
