Shareholders’ Subvention of Glanbia’s Grain Price Not an Option – IFA
IFA President Eddie Downey met with Glanbia this week to discuss their decision on the price paid to suppliers of grain.
Eddie Downey said the merchant trade must put their best foot forward and support growers through another difficult financial year. Otherwise, we will see a further reduction in the sown area for 2016. Firmer grain prices of late are capable of supporting a stronger green price and this should have been reflected in last week’s price offer by Glanbia.
Independent merchants and smaller co-ops are paying from €135/t to €140/t for green barley and from €142/t to €147/t for green wheat (prices quoted are exclusive of vat). Eddie Downey called on Glanbia to review their prices in light of the strengthening market situation.
Following a meeting of the Grain Committee this week, National Chairman Liam Dunne said Glanbia are in a position to pay the same price as the independent merchants and the smaller co-ops. He said, “The bonus for their shareholders should be on top of this as its coming from shareholders’ own funds. Glanbia has to examine its own cost base before asking farmers to subvent grain purchasers”.