Phase 10 is a one-year fixed milk price scheme offering a milk price of 29.41c/l excluding VAT for the full year of 2018.

Glanbia has launched a fixed milk price scheme every year since 2011, which now accounts for 20% of its milk pool. Over 2,000 of GII suppliers (60%) are participating in at least one of the schemes.

Sean Molloy, director of strategy and supply development with GII, said that suppliers in the active schemes have on average 25% of their supply volumes in fixed-price arrangements (based on 2016 supply volumes).

Phase 10 details

The scheme price of 29.41c/l excluding VAT (31c/l including VAT) is based on standard constituents of 3.6% butterfat and 3.3% protein. Actual constituents greater or less than standard constituents are paid for at the scheme price.

There are no adjustments for market price movements or farm input cost movements. Participants in Phase 9 will be given priority access to Phase 10 for 100% of their Phase 9 allocation volume.

Any support payment made by Glanbia Co-operative Society to its members will be paid on top of the fixed milk price.

Application forms for Phase 10 will issue to all GII milk suppliers in the coming weeks, with a closing date for applications of 30 June 2017.

Read more

Farm organisations expect processors to increase May milk price to 33c/l