IFA National Dairy Committee Chairman Tom Phelan has welcomed the significant improvement in the 2017 financial performance by Ornua, which saw an 18% revenue growth to well over €2b, and an increase in EBITDA OF 24%.
He said while this was a result of the development of new and increased routes to markets by the Ornua team, it was made possible by the hard work of Irish dairy farmers, who increased their output of high quality, sustainably produced milk by 9% in 2017, and helped boost the export tonnage to an unprecedented 338,000t.
He said member co-ops stood to benefit from a 58% increase in trading bonuses, from €9.5m with respect to 2016 to €15m for 2017, and a crucial syndicated bank facility worth €610m over 5 years, which would provide significant support to co-ops’ working capital over that period.
“We are very clear that farmers have contributed significantly to this very strong performance by our main exporter. We urge co-ops to use the bonuses we understand they will be paid in April to support farmers through a the more challenging year ahead, after a long cold winter and late, snowy and icy spring have taken their toll,” he concluded.