The ICMSA has said that co-ops “can and should” be paying 39 c/L for milk supplied in December.
Lakeland Dairies has increased its milk price by 1.15 c/L for milk supplied in December.
A base price of 37.15 c/L at 3.6pc butterfat and 3.3pc protein will be paid for December milk in the Republic of Ireland. Qualifying farmers will also receive a 5 c/L out-of-season payment.
In Northern Ireland, a base price of 30.25 p/L will be paid for milk supplied in December. The base price has increased by 1 p/L plus the usual out-of-season payment of 3 p/L.
“As we face into 2024, the global dairy markets are more favourable but remain delicately poised,” a spokesperson for the processor said.
“While there are some positive market indicators, particularly around milk supplies in key production regions, demand uncertainty remains. Lakeland Dairies will continue to monitor the markets closely in the time ahead.”
Chairperson of ICMSA’s Dairy Committee, Noel Murphy, has said that co-ops “can and should” be paying 39 c/L for milk supplied in December.
Mr Murphy said that ICMSA would not accept the argument that merited price rises did not matter for low volume periods like December. He said that co-ops must always pay the highest milk price possible.
“There is no doubt that 39 c/L is an absolutely realistic price for co-ops to reach for December payments and the markets for the last quarter of 2023 prove as much,” he said.
“Milk supplies are tight in exporting nations and if farmers are to be encouraged to produce long term, in the volumes that the co-ops already know they will require, then prices that reflect a rising global market and demand have to be paid to the primary producers.”
Mr Murphy encouraged co-ops to “be bold” and begin restoring farmer confidence that “has been so badly shaken by 18 months of cruel margin-squeeze and really damaging ‘cave-in’ by the Irish Government to anti-dairy elements both here and in the EU.“
The latest Global Dairy Trade event concluded with the Price Index up 1.2pc.
Meanwhile in the UK, milk prices held firm in January, with most processors announcing increases or no change to their pricing.
