IFA dairy chair Stephen Arthur has acknowledged the moves by Lakeland Dairies and Glanbia to introduce supplementary payments on fixed-milk-price contract volumes and has called for other dairy co-ops and processors to follow suit.
He said it is “important that Lakeland and Glanbia are acknowledging the serious situation suppliers who entered fixed-milk-price contracts, in good faith, now find themselves in”.
On Thursday, Lakeland Dairies announced that it has increased the milk price it pays on existing fixed-milk-price contracts by 8c/l in the Republic of Ireland and 7p/l in Northern Ireland.
A spokesperson said that farmer suppliers will receive the supplementary payment for milk supplied in April 2022 until December 2022.
Arthur warned that the increases in input costs dairy farmers are experiencing is “unprecedented” and said that this requires “action by all stakeholders to address the issue”.
“Other co-ops and processors must now come forward in the coming days with serious proposals to address the issue,” he said.