A decision to terminate milk supply to North Cork Creameries in the Moyvane and Feale Bridge area of Co Kerry was made by milk suppliers on Tuesday night, the Irish Farmers Journal understands.
Suppliers to North Cork Creameries say they have a three-month notice period, meaning if they follow through with the intention to leave, a significant proportion of the North Cork milk pool will be lost by July.
Approximately 40% of the North Cork milk pool is based in Kerry, made up of former suppliers to Newtownsandes and Feale Bridge and Headley Bridge co-ops.
The move to leave the co-op follows the February milk price announcement, showing North Cork Creameries paying significantly less than other co-ops.
The North Cork milk price for February is 4.6c/l excluding VAT behind the average of the other co-ops, according to the Irish Farmers Journal monthly milk league.
At 33.7c/l excluding VAT, the North Cork base price is 6c/l excluding VAT behind the price for Lakeland Dairies, the highest-paying co-op for February when all eligible flat rate bonuses are included.
Skeletal staff levels
The Irish Farmers Journal understands that the majority of the North Cork milk pool is continuing to be processed by Carbery, with only skeletal staff levels operating at the North Cork plant in Kanturk.
Repeated attempts by the Irish Farmers Journal to contact the management of North Cork for an update on redundancies and future plans for the business have been ignored.
In a letter sent to suppliers last week, management of the co-op stated that suppliers shouldn’t believe everything they read in the media and reassured suppliers about the state of the business.
Meanwhile, the Irish Farmers Journal understands that attempts by neighbouring co-ops to offer assistance to North Cork Creameries have been ignored by both the management and board of directors.
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