Lakeland drops 1p/l, but others hold

NI’s largest milk processor, Lakeland Dairies, is the only company to cut the price paid for February milk, having taken 1p/l off its base, leaving it at 39.8p/l.

It is the first time that any NI milk processor has paid from a base below the 40p/l mark since August 2024, although the 3p/l Lakeland winter bonus still applies on February milk, so suppliers are on a starting point of 42.8p/l.

Elsewhere, Dale Farm held on a price of 44.8p/l before deductions for milk transport apply. However, most suppliers to the co-op will see their price per litre down slightly on previous months, with no pay-out made under its milk production realignment scheme between February and July.  In January 2025, this scheme was worth 0.52p/l to the average Dale Farm supplier.

Strathroy Dairy also held their milk price, with the Tyrone processor paying from a base of 41p/l. Once a 3p/l winter bonus is added in, it is a starting point of 44p/l.

The same 3p/l winter bonus remains in place at Tirlán and when added to an unchanged base price of 40.9p/l, it leaves NI suppliers on a price of 43.9p/l. It is also no change at Leprino Foods, with the company remaining on a base price of 42.25p/l. Leprino, along with Dale Farm, are the only two processors not to pay a winter bonus in February, although both did move to support base milk price in that month.

Looking ahead to March, the remaining winter bonuses all drop off at Lakeland, Tirlán, Strathroy and Aurivo.

Record output

Meanwhile, after three years of relatively flat production, statistics published by DAERA show 2024 was a record year for milk output in NI. In total, NI suppliers produced 2.623bn litres of milk, up 3.8% on the 2023 figure. Over the last 10 years, NI farmers have increased milk output by 19%.

That rate of growth has not been replicated in Britain, where dairy farmers produced 12.41bn litres in 2024, up 0.6% on 2023 output. Over the last 10 years, milk output in Britain has been consistently around the 12.5bn litre mark.