Commenting on today’s (Tuesday) decision by Lakeland and Glanbia to hold their milk prices for the milk produced by farmers in April, IFA National Dairy Chairman Tom Phelan said it was important that, for the next few months, co-ops would adopt a more positive mindset on milk prices to reflect improved markets and help with the increased cash flow needs of dairy farmers.
“The National Dairy Committee has engaged in a major lobbying exercise for April milk in every co-op area. It is quite remarkable that, bearing in mind the amount of talking down of milk prices coming from some co-op management teams and boards, the first two co-ops to announce their milk price have decided to hold. A more positive move would have been to declare the end of cuts, too,” Mr Phelan said.
“In light of lower global supplies, stronger Oceanian dairy price trends as shown by last week’s GDT auction, and improved EU and international powder prices, exemplified by the lift in the Ornua PPI milk price equivalent to 31.6c/l incl VAT, co-ops can and must, switch towards a more positive approach on milk prices from now on,” he concluded.