Glanbia announces August milk price and halts support payment

Glanbia will pay its Member milk suppliers 32 cent per litre (cpl) including VAT for August manufacturing milk supplies at 3.6pc butterfat and 3.3pc protein.

This is unchanged from the July price paid to Members. Glanbia Ireland (GI) has increased its base milk price for August from 31 cpl to 32 cpl including VAT, for manufacturing milk at 3.6% fat and 3.3% protein.

There will be no support payment from Glanbia Co-op this month.

Glanbia Chairman Martin Keane said: “The market outlook remains cautious. The level of milk supply from the main exporting regions will be a key factor determining the price outlook over the coming months. The Board will continue to monitor developments on a monthly basis”.

Lakeland Dairies has held its base milk price at 32.78 cents per litre including VAT for August milk supplies.

Dairy processors have been urged to close the gap between Irish and European prices as supply shortages emerge across the continent.

“Many of the increases we saw (here) over the last two months were in the 1 to 2c per litre range. Given that Irish prices were at the lower end of the European milk league for July, — even after some processors had increased their price — Irish milk co-op purchasers will have to look seriously at increasing prices,” said ICMSA dairy chairman Gerard Quain.

“Wholesale prices have picked up recently due to increased demand from Europe as the dry weather has affected key EU member states. This is reflected in the ongoing strength of Dutch dairy quotes and other European quotes which are returning almost 35c/l for the Butter/SMP mix and 32.5c/l for WMP,” said Mr Quain.