The board of Lakeland Dairies has confirmed that the price for milk supplied in July will see an increase in the base price from last month.
A base price of 45.25c/L – based on 3.6% butterfat and 3.3% protein – will be paid for July milk in the Republic of Ireland. This is inclusive of the 0.5c/L Sustainability Incentive Payment.
The base price has increased by 1.75c/L for milk supplied from last month.
In Northern Ireland, a base price of 37.3c/L will be paid for milk supplied in July, which is inclusive of the 0.5c/L Sustainability Incentive Payment.
The base price has increased by 1.5p/L from last month.
Lakeland Dairies
The co-op stated that the global dairy market returns have “improved” month-on-month with butter markets in particular showing increased returns from last month.
“Lakeland Dairies will continue to monitor the markets and will endeavour to support our farmers as best we can,” the co-op stated.
“If they have not done so already, we are encouraging farmers to carry out a fodder survey to get an accurate picture of feed stocks on their farm. If deficits have been identified, we are strongly advising farmers to take action.
“Our member relations as well as agribusiness advisors are ready to help and support farmers where necessary,” Lakeland Dairies stated.
Ornua PPI
Meanwhille, the Ornua Purchase Price Index (PPI) for July is unchanged from the previous month, although the indicative price return has decreased slightly.
The latest PPi implies an indicative return of 41.1c/L, inclusive of VAT at 4.8%, for milk at 3.6% fat and 3.3% protein.
This indicative return is a decrease of 0.4c/L compared to the 41.5c/L for June.
The figure was arrived at after deducting Ornua’s member co-operative processing costs, which were reckoned at 9c/L for July.
In addition to the latest PPI figure, Ornua said that its value payment payable to member co-operatives in the month is €7 million, which equated to 3.9% of gross purchases in the month.
