Production costs on NI dairy farms are currently averaging 28p/l, according to Jason McMinn from Farmgate Consultancy.
The Loughgall-based consultant provides technical and financial advice to dairy farmers across Northern Ireland.
McMinn said that costs on his clients’ farms have continued to increase over the past 12 months.
“Rising costs have seen average breakeven milk price move to 28p/l. Many farmers are in a position where milk cheques no longer cover production costs,” he said.
McMinn was speaking ahead of the RUAS Winter Fair at Balmoral Park on Thursday 12 December.
He will give the keynote address at the annual Northern Ireland Institute of Agricultural Science (NIIAS) dairy industry breakfast before the Winter Fair.
At the NIIAS breakfast, Jason will examine the relationship between breakeven milk price and factors such as margin over concentrate, milk from forage and herd mortality.
He will compare Northern Ireland milk price and quality across Europe and will look at the potential for constituent-based milk pricing in Northern Ireland.
The event is open to both NIIAS members and non-members and takes place in the Agri-Food and Bioscience Institute’s conference hall at Large Park, Hillsborough, BT26 6DR.
Breakfast will be served from 7.30am and Jason will begin his presentation at 8am. The event will conclude before the start of the Winter Fair.
Registration costs £10 for NIIAS members, £15 for non-members and £5 for students. Places should be booked beforehand by emailing secretary@niias.co.uk.