IFA Grain Committee Chairman Mark Browne said the announcement by Dairygold on the pricing for the 2020 harvest puts a floor on the market.
IFA had called on the trade to return sustainable prices to grain farmers this harvest to prevent a further drop in farm income.
“While the prices will not cover production costs for the farmers who suffered considerable yield losses this season, they do somewhat acknowledge the difficult tillage season,” he said
While recognising that companies operate in a competitive market environment, Mark Browne said the prices put a value and emphasis on quality assured Irish grain.
He called on all co-ops and grain buyers to show a similar commitment to the sustainability of their grain suppliers by returning similar prices at a minimum.
The IFA Grain Chairman also urged buyers of feed to insist on Irish grains in rations and to support those feed companies who back Irish tillage farmers.