Lakeland Dairies Reduces Milk Prices Amid Market Challenges

Lakeland Dairies has decided on a new pricing structure for milk supplied in November, reflecting ongoing market difficulties faced by the dairy sector. In the Republic of Ireland, milk will be priced at 36.25c/L for 3.6% butterfat and 3.3% protein, which includes a 0.5c/L Sustainability Incentive Payment. This marks a reduction of 4c/L from the price paid in October.

For Northern Ireland, the price is set at 28.8p/L, also inclusive of the Sustainability Incentive Payment, representing a decrease of 3.5p/L compared to the previous month. These adjustments come as the cooperative acknowledges the continued pressure on farmgate prices due to global dairy supply outpacing demand.

To support farmers, Lakeland Dairies will provide an out-of-season payment in addition to the base price. Furthermore, a loyalty payment of 0.3c/L will be made on all 2025 milk supplies in the Republic of Ireland, with a similar payment of 0.25p/L in Northern Ireland. These payments will be issued with the December milk cheque in January.

The cooperative has noted that the imbalance caused by strong global dairy supply and weakened demand is impacting all dairy categories, including powders, butter, and cheese. Lakeland Dairies emphasizes its commitment to monitoring market conditions closely and aims to offer the best possible milk prices in line with these conditions.