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On Monday, the milk supply survey for October, which showed volumes down by as much as 11% for some co-ops.
ICMSA’s dairy committee chair Gerald Quain says the latest dairy market surge must deliver 30 c/l for farmers.
From this week, co-ops will be setting October milk prices, with Ornua expected to publish its purchase price index before Thursday. Quain and the ICMSA is demanding the largest returns being passed on to farmers.
“Based on market returns, there was absolutely no reason why milk price could not be set at 30c/l for October,” Quain said.
The Co Limerick dairy farmer said there continues to be improvements in the global market place and this needs to be passed on with greater urgency to his fellow farmers by co-ops. Quain also accused co-ops of not passing on enough of an increase to farmers.
“Demand for dairy products has now reached a level that has seen a 59% jump in the GDT price index since March 2016 and has almost doubled since its lowest point in August 2015. We won’t accept a repeat of the deafening silence from the processors this month… the 1c/l price rise last month in no way reflected the obvious buoyancy in markets.
“These kind of minimal, inching-upwards price rises are very frustrating for suppliers in the context of the kind of cashflow pressures that milk suppliers are experiencing this autumn after what has been a basically horrific year for dairy farmers. The maths breakdown of the situation at the moment gives farmers a milk price of 30c/l and that’s what the board members should be demanding from their co-op,” he added.
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