Comment: aim to build a more resilient dairy industry

Last week the Irish Farmers Journal and the Ulster Farmers’ Union held a conference looking at the challenges ahead for the NI dairy industry, and possible changes that could help drive efficiency and profitability in the sector.

One of the main aims of the event was to open a debate in NI on changing milk pricing to a system based on milk solids. It is about sending the right signals to producers, and over time, growing the value of the NI milk pool (which will benefit everyone), while at the same time realising efficiencies in milk processing.

The experience from elsewhere, including the Republic of Ireland, shows that it is the right direction of travel – by continually increasing fat and protein, the value of Irish milk has increased by an average of €15m/year for each of the last 10 years.

However, we also need to be clear that this is not about replicating an Irish spring-calving, grass-based system on NI farms – that isn’t an option for the majority of dairy farmers here. It isn’t about changing breeds, as there are plenty of farmers south of the border and elsewhere achieving high solids milk from Holstein Friesian cows.

It will also not solve the issue of price volatility in dairy markets.

At the start, there are winners and losers, as the initial pot of money remains the same, although for most, the differences will be small.

But if farmers are given enough lead-in time, and the correct advice and support, it will help to build a more resilient dairy industry here. Ultimately, if there is to be change, it must be driven by farmers, and all processors must agree to make the switch together.

From next week, our monthly milk league will include some prices based on a possible milk solids payment, just to highlight what it could mean across various milk qualities.

The full presentations from each of the speakers at last week’s conference are now available to view at www.farmersjournal.tv.