Base milk prices in NI rise to over 40p/l

Price increases of 1p to 2.5p/l have been applied to base milk prices for September, with the largest rise coming from Leprino Foods.

A 2.5p/l increase brings Leprino suppliers to a starting price of 40.75p/l, inclusive of a 0.5p/l sustainability premium.

However, farmers supplying the Magheralin processor should note that September is the final month that its 0.4p/l mozzarella bonus operates at lower base levels on fat and protein.

To qualify for this premium, milk delivered from October onwards will have to meet, or better, a 4% base for butterfat, 3.2% base for protein, 25 TBC and 200 SCC.

Increases

Elsewhere, Strathroy opted for a 1p/l increase, bringing its suppliers to a base of 41p/l, while Lakeland Dairies boosted its base by 2p to 40.3p/l.

Farmers supplying Lakeland also benefit from a 50% increase in volume bonuses on all milk supplied from September to December. In addition, the co-op has confirmed a £25/t rebate on its range of dairy feeds purchased by suppliers during the four months from November to February.

Dale Farm

To date, the only processor leaving its price unchanged in September is Dale Farm, although at 41.3p/l it is still ahead of others. But once transport charges are applied, that price drops below 41p/l for an average dairy herd in NI supplying 750,000l annually.

However, there is also the co-op’s milk realignment initiative to factor in, which pays 4p/l on all additional litres over the average monthly volume from 2021 to 2023. Under the scheme, Dale Farm paid an additional 0.4p/l, on average, for September milk.

GDT

At Tuesday’s New Zealand GDT auction, the price index dipped by 0.3% following a 0.3% drop in butter and 1.8% drop in skim milk powder. Whole milk powder was unchanged with cheddar up 4.2%.

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