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Lakeland Dairies has increased its base price for milk supplied in February by 1.25p/l, taking it to 34p/l, the highest starting price paid by the co-op since March 2023.
Included within the 34p/l base is the 0.5p/l payment for suppliers under the co-op’s sustainability initiative. The 1p/l farm input support payment issued by Lakeland back in January has been rolled into the February base price.
MPI
Announcing its latest price, Lakeland said that dairy markets remain in a “delicate position”. That is reflected in the latest Ulster Farmers’ Union (UFU) milk price indicator (MPI) which has eased by 0.25p, taking it to 35.18p/l , putting the MPI at its lowest level since late November 2023.
The drop in MPI reflects the first negative GDT auction since November 2023 and mixed price trends at last week’s Dutch Dairy Board auction.
Dairy heifers
However, with farm gate prices edging upwards in recent months it has brought an uplift in buying demand for freshly calved dairy heifers, report local mart managers.
At the upper end of the market, heifers calved within the past month are making above £2,000 depending on quality, pedigree and yield, with the main run from £1,700 to £1,900. Plainer heifers and second lactation animals are trading between £1,300 and £1,500.
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