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Milk Price- Please read Mod note in post #1

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Comments

  • Registered Users Posts: 532 ✭✭✭wats the craic


    The problem is where would you go to. Other co-op do not want more milk at present as well they might be afraid of taking a militant group of suppliers.

    fear of change is not a reason to stay put and be treated like gill slave . i was seen as a mad man when i left wmp to go strathroy it was jump into the unknow . but it was the best thing i have done has a farmer . althought i was our family founder memebers of wexford creamery nearly 60 yrs of history . see the likes of gil are banking on ye staying put but say up to 1000 suppliers say we have enough and we are out and moving to new coop how can they stop you . its time to rise up and fight for your farm and your families . cant depend on ifa they are worst than useless . arrange meeting in your areas talk to your local fellow suppliers find out they think act now , either that or as whelan said give out at the local ifa which is worthless . we have to get the support of the irish people behind us expose the wages of the glanbia management and what we get in return . if you ask any coop prvt they will tell you they hate glanbia , but they are scared to take them on . but if glanbia are fighting a revoultion with thier own suppliers den its game on and bergin will have a different smile on his smug face . we have to think outside the box and if that means forcing gill hand in changing the way they do bussiness so be it .


  • Banned (with Prison Access) Posts: 607 ✭✭✭jack o shea


    Lads couldn't sign that ms a thing quick enough like sheep they were.i think it's not worth a **** anyway if it came to it would it stand up in court?


  • Registered Users Posts: 532 ✭✭✭wats the craic


    Lads couldn't sign that ms a thing quick enough like sheep they were.i think it's not worth a **** anyway if it came to it would it stand up in court?

    no irish msa would stand up in a european court they are ilegal under the the european milk package . cant have long term contracts without fixed price to the supplier .


  • Closed Accounts Posts: 6,506 ✭✭✭Dawggone


    The hubris/arrogance of this thread from just a few months back has evaporated.....
    Speaking to suppliers from home there're convinced that another 2cpl drop is coming down the tracks.



    All's well.
    #grasstomilk. :):)


    How about # takecontrol??





    The cheerleaders have gone awfully quiet...


  • Banned (with Prison Access) Posts: 607 ✭✭✭jack o shea


    The French would have glanbia burnt to the ground by now and fair play to them, we are a gutless shower.


  • Closed Accounts Posts: 3,433 ✭✭✭Milked out


    Dawggone wrote: »
    The hubris/arrogance of this thread from just a few months back has evaporated.....
    Speaking to suppliers from home there're convinced that another 2cpl drop is coming down the tracks.



    All's well.
    #grasstomilk. :):)


    How about # takecontrol??





    The cheerleaders have gone awfully quiet...

    If the french didn't have their domestic market would the milk price be anywhere near it's current figure there? From what I hear friesland campina will soon struggle to offload product as well, all systems are gonna come under pressure in this period. Obviously we are more exposed with no liquid market to speak off so everything exported and even product going to companies using it here all at world prices. We can't grow your maize or soya or lucerne consistently or at your costs all we can grow consistently is grass. It may not be cheaper than your feedstuffs but it's all we can focus on really to compete at all.


  • Closed Accounts Posts: 6,506 ✭✭✭Dawggone


    Milked out wrote: »
    If the french didn't have their domestic market would the milk price be anywhere near it's current figure there? From what I hear friesland campina will soon struggle to offload product as well, all systems are gonna come under pressure in this period. Obviously we are more exposed with no liquid market to speak off so everything exported and even product going to companies using it here all at world prices. We can't grow your maize or soya or lucerne consistently or at your costs all we can grow consistently is grass. It may not be cheaper than your feedstuffs but it's all we can focus on really to compete at all.

    +1.
    But, but, but...#grasstomilk!


    Reality bites. I've posted on here relentlessly about my CoP and my system. Often to ridicule.
    I'm not afraid of any stress test.


    As an outsider looking in, your Coops are taking you for a ride.


    #gtm, survival of the fittest, leanest and meanest, blah blah ain't worth squat.
    Your asset (land), your work (labour), your investment (money) is being mugged by your processor.

    Wake. The Fcuk. Up.


    Not personal Milked Out. Just my own observations.


  • Closed Accounts Posts: 3,433 ✭✭✭Milked out


    Dawggone wrote: »
    +1.
    But, but, but...#grasstomilk!


    Reality bites. I've posted on here relentlessly about my CoP and my system. Often to ridicule.
    I'm not afraid of any stress test.


    As an outsider looking in, your Coops are taking you for a ride.


    #gtm, survival of the fittest, leanest and meanest, blah blah ain't worth squat.
    Your asset (land), your work (labour), your investment (money) is being mugged by your processor.

    Wake. The Fcuk. Up.


    Not personal Milked Out. Just my own observations.

    No offence taken, but what is the solution if that is the case., Bar the west cork coops the rest are all within a cent or so of each other for the most part. Value added products? Perhaps we should of went off and bought that baby food plant in limerick when it was up for sale. Danone and the like increasing profits due to milk being on the floor. Obviously at the price it went for something like that would have been too much of a risk but what other products can return a higher price in the troughs that are exportable on.a large scale? Not against looking into any of it but what is the the solution for the irish farmer?


  • Registered Users, Registered Users 2 Posts: 6,135 ✭✭✭kowtow


    Milked out wrote:
    No offence taken, but what is the solution if that is the case., Bar the west cork coops the rest are all within a cent or so of each other for the most part. Value added products? Perhaps we should of went off and bought that baby food plant in limerick when it was up for sale. Danone and the like increasing profits due to milk being on the floor. Obviously at the price it went for something like that would have been too much of a risk but what other products can return a higher price in the troughs that are exportable on.a large scale? Not against looking into any of it but what is the the solution for the irish farmer?


    Its not a solution, but keeping smaller coops is essential if farmers are to stand a chance.

    Ideally I'd like to see coops totally separate, responsible only for collection, and a transparent auction system to let farmers to decide where their milk is sold for processing and on what contract terms.

    It wasn't possible when the NZ system of one big coop was conceived but it is now - properly done it is the only way to balance power and risk between farmer and processor.


  • Closed Accounts Posts: 2,471 ✭✭✭Panch18


    kowtow wrote: »
    Its not a solution, but keeping smaller coops is essential if farmers are to stand a chance.

    Ideally I'd like to see coops totally separate, responsible only for collection, and a transparent auction system to let farmers to decide where their milk is sold for processing and on what contract terms.

    It wasn't possible when the NZ system of one big coop was conceived but it is now - properly done it is the only way to balance power and risk between farmer and processor.

    I would have to disagree with your proposal kowtow

    That would be grand in a rising or high price scenario but in a falling and low price scenario the coops would simply not take your milk and would have no obligation to either. And what is a farmer supposed to do then with a full tank of milk and nowhere to go with it??


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  • Closed Accounts Posts: 2,471 ✭✭✭Panch18


    The key to success (survival is probably a much more appropriate word here!!) is pumping milk that's like treacle, solids is the key combined with cost control

    Get the maximum price that you can above base price, white water has no place in Irish milk production in current times


  • Registered Users, Registered Users 2 Posts: 6,135 ✭✭✭kowtow


    That's exactly what is happening now.

    Plenty of middle men would be happy to buy a tanker of milk and sell it into intervention for a few pips, which is exactly what our coops are doing.

    The difference is that right now every coop member is paying for it in a low price across the board.

    Typically in a transparent system established farms would contract a good chunk of their planned supply with processors at a premium for a fixed term. The spot milk is the unwanted surplus so being paid fÃ႒—Ã႒— all for it is a timely signal to turn off the taps.

    But with all coops doing the collection and distribution the accident of geography would be removed, farmers and processors would compete on a level field with coops as the agent.


  • Closed Accounts Posts: 2,471 ✭✭✭Panch18


    kowtow wrote: »
    That's exactly what is happening now.

    Plenty of middle men would be happy to buy a tanker of milk and sell it into intervention for a few pips, which is exactly what our coops are doing.

    The difference is that right now every coop member is paying for it in a low price across the board.

    Typically in a transparent system established farms would contract a good chunk of their planned supply with processors at a premium for a fixed term. The spot milk is the unwanted surplus so being paid fÃ႒—Ã႒— all for it is a timely signal to turn off the taps.

    But with all coops doing the collection and distribution the accident of geography would be removed, farmers and processors would compete on a level field with coops as the agent.

    So effectively that's a milk supply agreement with a fixed price?? Which we have in some form, albeit small fixed amounts, at the moment


  • Closed Accounts Posts: 3,170 ✭✭✭WheatenBriar


    kowtow wrote: »
    That's exactly what is happening now.

    Plenty of middle men would be happy to buy a tanker of milk and sell it into intervention for a few pips, which is exactly what our coops are doing.

    The difference is that right now every coop member is paying for it in a low price across the board.

    Typically in a transparent system established farms would contract a good chunk of their planned supply with processors at a premium for a fixed term. The spot milk is the unwanted surplus so being paid f×× all for it is a timely signal to turn off the taps.
    Will GiiL reach Talbots 30 million profit target?
    In context,if that target was reduced to €10 million ,that's €5000 to each of their suppliers divvied out if the €30 million surplus is reached

    If it hasn't a hope of being reached,it begs the question this time with CAPITAL letters why it was decided to shaft the supplier to aim for that in the first place

    What do you think Talbot and co would do if GiiL became loss making,would they have the balls to dump it?
    Would that prompt the board to actually act in farmers interests finally?


  • Closed Accounts Posts: 3,433 ✭✭✭Milked out


    https://www.agriland.ie/farming-news/ornua-suspends-dairy-farmer-levy-in-light-of-sector-difficulties/

    If the ppi is indicating a return of 25c Glanbia are a bit of it with 22c, and the rest of us likely to follow


  • Registered Users, Registered Users 2 Posts: 6,783 ✭✭✭jaymla627


    Panch18 wrote: »
    The key to success (survival is probably a much more appropriate word here!!) is pumping milk that's like treacle, solids is the key combined with cost control

    Get the maximum price that you can above base price, white water has no place in Irish milk production in current times

    Define white water, average solids here last year was 3.93 fat 3.53 pr, but sent in 532kgs milk solids on co-op report of 1.2 ton of meal....
    The top 10% in glanbia got 33.1 and I averaged 30.4, if you take your average cow at 5000 litres they achieved 150 euro more than I done on these litres, but I sent in 7000 litres a cow so would of sent in 458 euros more milk even when the 150 they got extra in solids is taken into account....
    Total spend on meal was 325 a cow in my herd and say the 5000 litres fed half a ton so his costs would be 125.....
    So I'm up 258 euro all things been even assuming both herds of cows had the same costs for grass/silage been fed, then if we wade into the cull/calf value debate I'm winning here too, point I'm trying to make a good solid hol/fr cow is just as resilient to surviving a low price year as a crossbreed lady pumping out treacle haha


  • Closed Accounts Posts: 3,170 ✭✭✭WheatenBriar


    jaymla627 wrote: »
    So I'm up 258 euro all things been even assuming both herds of cows had the same costs
    No you are DOWN 3c a litre based on what GiiL should be paying
    So on a cow giving say 6000 litres a year,you need to consider you are being codded out of 180 euros per cow that belongs to you,not the greedy monolith
    Your return above base price does not bring back what you've been codded out of on base because your return above base you'd be getting for your work on that anyway
    Its the story the greedy monolith dont want telling or exposed


  • Registered Users, Registered Users 2 Posts: 6,135 ✭✭✭kowtow


    Panch18 wrote:
    So effectively that's a milk supply agreement with a fixed price?? Which we have in some form, albeit small fixed amounts, at the moment


    Its a market place allowing every farmer to contract directly with every and any processor on whatever terms they agree, fixed or otherwise. A sensible farmer might supply more than one processor and on different contracts.

    The coops would just collect and deliver.

    It would spawn new high value processors and force the others to compete for milk (and of course move prices realistically and rapidly when there is too much milk)

    It would be a huge change and it would upset a lot of vested interests, but done properly it would be world leading and as important in its own way as the coop movement.

    Connect the farmer closer to his customers (deliberate plural).

    Why would anyone not do that?


  • Banned (with Prison Access) Posts: 4,617 ✭✭✭Farmer Ed


    Panch18 wrote: »
    I would have to disagree with your proposal kowtow

    That would be grand in a rising or high price scenario but in a falling and low price scenario the coops would simply not take your milk and would have no obligation to either. And what is a farmer supposed to do then with a full tank of milk and nowhere to go with it??

    The idea that the co op would not take your milk is just probably the biggest lie ever spun by co ops in an effort to get people to sign contracts. Under co up law the co op is obliged to take all your milk if your a shareholder. That's the law full stop as for not taking new suppliers in times of poor milk price? Just a month ago almost every farmer who had gone to Arrabawn who met Dairygold reported they were asked to come back.

    Apparently Dairygold mustn't have enough powder in stores.


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  • Banned (with Prison Access) Posts: 4,617 ✭✭✭Farmer Ed


    kowtow wrote: »
    Its a market place allowing every farmer to contract directly with every and any processor on whatever terms they agree, fixed or otherwise. A sensible farmer might supply more than one processor and on different contracts.

    The coops would just collect and deliver.

    It would spawn new high value processors and force the others to compete for milk (and of course move prices realistically and rapidly when there is too much milk)

    It would be a huge change and it would upset a lot of vested interests, but done properly it would be world leading and as important in its own way as the coop movement.

    Connect the farmer closer to his customers (deliberate plural).

    Why would anyone not do that?


    Just one problem. It could get complicated when collecting levies. And spare a thought for the nobs on the boards of quangos.it might cause some friction and make them feel uncomfortable.


  • Registered Users, Registered Users 2 Posts: 6,135 ✭✭✭kowtow


    Farmer Ed wrote: »
    The idea that the co op would not take your milk is just probably the biggest lie ever spun by co ops in an effort to get people to sign contracts. Under co up law the co op is obliged to take all your milk if your a shareholder. That's the law full stop as for not taking new suppliers in times of poor milk price? Just a month ago almost every farmer who had gone to Arrabawn who met Dairygold reported they were asked to come back.

    Apparently Dairygold mustn't have enough powder in stores.

    The only thing I want a co-op to be obliged to do is collect my milk for a very small fee and take it (or an agreed quantity of a equal quality milk) to the highest bidder with whom I would prefer to have dealt direct.

    The co-op has no more power to turn unwanted milk into money than anyone else. Less in fact, if the co-op only has a drier and the market wants cheese.

    There's no future in a business where the customer only buys because the law makes him.


  • Banned (with Prison Access) Posts: 4,617 ✭✭✭Farmer Ed


    kowtow wrote: »
    The only thing I want a co-op to be obliged to do is collect my milk for a very small fee and take it (or an agreed quantity of a equal quality milk) to the highest bidder with whom I would prefer to have dealt direct.

    The co-op has no more power to turn unwanted milk into money than anyone else. Less in fact, if the co-op only has a drier and the market wants cheese.

    There's no future in a business where the customer only buys because the law makes him.


    I don't disagree with you at all. In reality it should pan out exactly as you are suggesting. In fact on of the best paying co ops in the country process's no milk, but in effect just acts as an milk assembly agent for craft foods


  • Registered Users, Registered Users 2 Posts: 6,135 ✭✭✭kowtow


    Will GiiL reach Talbots 30 million profit target?
    In context,if that target was reduced to €10 million ,that's €5000 to each of their suppliers divvied out if the €30 million surplus is reached

    If it hasn't a hope of being reached,it begs the question this time with CAPITAL letters why it was decided to shaft the supplier to aim for that in the first place

    What do you think Talbot and co would do if GiiL became loss making,would they have the balls to dump it?
    Would that prompt the board to actually act in farmers interests finally?

    Havent looked at the deal for ages but if I remember there would possibly be an akward scenario - GIIL board duty is to maximise profits of GIIL for all shareholders, even if board is farmer dominated they'd want to be careful of oppressing the minority (40%? - PLC) - so the PLC created quite a clever deal there by handing the farmers a "majority" when no-one realised that it might be a poisoned chalice...

    I could be completely wrong if so someone please correct me ... its ages since I read the terms and even then only briefly as I have no involvement.


  • Registered Users Posts: 1,847 ✭✭✭Brown Podzol


    fear of change is not a reason to stay put and be treated like gill slave . i was seen as a mad man when i left wmp to go strathroy it was jump into the unknow . but it was the best thing i have done has a farmer . althought i was our family founder memebers of wexford creamery nearly 60 yrs of history . see the likes of gil are banking on ye staying put but say up to 1000 suppliers say we have enough and we are out and moving to new coop how can they stop you . its time to rise up and fight for your farm and your families . cant depend on ifa they are worst than useless . arrange meeting in your areas talk to your local fellow suppliers find out they think act now , either that or as whelan said give out at the local ifa which is worthless . we have to get the support of the irish people behind us expose the wages of the glanbia management and what we get in return . if you ask any coop prvt they will tell you they hate glanbia , but they are scared to take them on . but if glanbia are fighting a revoultion with thier own suppliers den its game on and bergin will have a different smile on his smug face . we have to think outside the box and if that means forcing gill hand in changing the way they do bussiness so be it .

    "The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself. Therefore all progress depends on the unreasonable man." GBS


  • Closed Accounts Posts: 3,551 ✭✭✭keep going


    in recent years i have had to look at the accounts of various food businesses and the thing that struck me is how low the margin is in dairy processing in ireland.


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  • Registered Users, Registered Users 2 Posts: 6,135 ✭✭✭kowtow


    keep going wrote: »
    in recent years i have had to look at the accounts of various food businesses and the thing that struck me is how low the margin is in dairy processing in ireland.

    Is this because we have such a high local cost base?

    One way or another this is a very expensive country to do business in - unless of course you are supported by large amounts of FDI / grant funding or your profits are driven by value transfers from overseas markets to optimise tax & regulatory exposure (tech, fund management, pharma etc.)

    Wages & associated costs are high and the local regulatory burden (in which I include insurance costs) is frightening.


  • Closed Accounts Posts: 3,551 ✭✭✭keep going


    kowtow wrote: »
    Is this because we have such a high local cost base?

    One way or another this is a very expensive country to do business in - unless of course you are supported by large amounts of FDI / grant funding or your profits are driven by value transfers from overseas markets to optimise tax & regulatory exposure (tech, fund management, pharma etc.)

    Wages & associated costs are high and the local regulatory burden (in which I include insurance costs) is frightening.

    could possibly be,but also is a sympton of a commodity driven business.but at the end of the day if you suggested to farmers we want to levy the milk to put a product develpoment fund in place which may not yield anything there be war.


  • Registered Users Posts: 1,047 ✭✭✭Injuryprone


    kowtow wrote: »
    Its a market place allowing every farmer to contract directly with every and any processor on whatever terms they agree, fixed or otherwise. A sensible farmer might supply more than one processor and on different contracts.

    The coops would just collect and deliver.

    It would spawn new high value processors and force the others to compete for milk (and of course move prices realistically and rapidly when there is too much milk)

    It would be a huge change and it would upset a lot of vested interests, but done properly it would be world leading and as important in its own way as the coop movement.

    Connect the farmer closer to his customers (deliberate plural).

    Why would anyone not do that?

    I might have picked you up wrong but your proposal sounds very similar to how the beef industry operates. How would it be any different to how the beef processors coordinate the beef price?


  • Registered Users, Registered Users 2 Posts: 5,104 ✭✭✭alps


    Panch18 wrote: »
    The key to success (survival is probably a much more appropriate word here!!) is pumping milk that's like treacle, solids is the key combined with cost control

    Get the maximum price that you can above base price, white water has no place in Irish milk production in current times

    The key to success is to sell as much as you can for as little as you can....

    High solids milk is nit that straightforward. ..

    Looking through our end of year milk recording report I was amazed that cows we had picked out for culling on low solids (3.35p...Ave 3.69) had absolutely blitzed the rest in terms of euros output. All down through the sheet, euro turnover had nothing to do with solids. If the litres were there, the euros were there. No limitation in the amount of water you send in with your solids now..

    Also..base milk price might be down 10c/l this year but yhe high solids operator is down 12/13c. This was very obvious last November, our price had dropped 16c from the previous Nov from a 10c base drop.


  • Registered Users, Registered Users 2 Posts: 6,135 ✭✭✭kowtow


    The key is always to be able to feed multiple processors, overseas if need be.

    There's a contradiction in Irish farming which is that the farmers behave as efficient and competitive (with each other) commodity producers while the processors are non competitive. This is not typical of a commodity marketplace- usually the mine owner can be sure of the market price even if it is lower than he would like.

    Shelf life is an issue of course but I would have thought that added transparency would make the processors efficient in turn.

    I don't know enough about beef to make the comparison but what stops additional processors joining the market in beef? If the existing players are abusing it there should be plenty of fat to compete for?


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  • Closed Accounts Posts: 6,506 ✭✭✭Dawggone


    Had a curious meeting this am.

    My Coop supply a newly opened baby formula plant that is north of me (Darragh_Haven knows it). Anyhow my milk goes directly to this plant and my Coop tell me that they are getting 28.75cpl for that milk and they pass it directly to me.
    This morning an 'executive' from the baby powder plant rocks up to the farm saying that he's got an offer for me...
    To secure future milk supplies he's offering 30cpl until July and they will offer 33cpl until November. Base price, 3.2pr and 3.8bf + vat...scc must be under 150k.
    Hmmm....to secure future milk supplies...

    What's going on?

    Edit.
    Scc 151 to 299 fined 6cpl.
    Scc 300 to 400 fined 18cpl.
    Minimum collection 13k litres


  • Registered Users, Registered Users 2 Posts: 11,394 ✭✭✭✭Timmaay


    Dawggone wrote: »
    Had a curious meeting this am.

    My Coop supply a newly opened baby formula plant that is north of me (Darragh_Haven knows it). Anyhow my milk goes directly to this plant and my Coop tell me that they are getting 28.75cpl for that milk and they pass it directly to me.
    This morning an 'executive' from the baby powder plant rocks up to the farm saying that he's got an offer for me...
    To secure future milk supplies he's offering 30cpl until July and they will offer 33cpl until November. Base price, 3.2pr and 3.8bf + vat...scc must be under 150k.
    Hmmm....to secure future milk supplies...

    What's going on?

    I'm moving to france...


  • Banned (with Prison Access) Posts: 4,617 ✭✭✭Farmer Ed


    Dawggone wrote: »
    Had a curious meeting this am.

    My Coop supply a newly opened baby formula plant that is north of me (Darragh_Haven knows it). Anyhow my milk goes directly to this plant and my Coop tell me that they are getting 28.75cpl for that milk and they pass it directly to me.
    This morning an 'executive' from the baby powder plant rocks up to the farm saying that he's got an offer for me...
    To secure future milk supplies he's offering 30cpl until July and they will offer 33cpl until November. Base price, 3.2pr and 3.8bf + vat...scc must be under 150k.
    Hmmm....to secure future milk supplies...

    What's going on?

    Forget this grap over here. We should all just move to France.


  • Closed Accounts Posts: 3,433 ✭✭✭Milked out


    Dawggone wrote: »
    Had a curious meeting this am.

    My Coop supply a newly opened baby formula plant that is north of me (Darragh_Haven knows it). Anyhow my milk goes directly to this plant and my Coop tell me that they are getting 28.75cpl for that milk and they pass it directly to me.
    This morning an 'executive' from the baby powder plant rocks up to the farm saying that he's got an offer for me...
    To secure future milk supplies he's offering 30cpl until July and they will offer 33cpl until November. Base price, 3.2pr and 3.8bf + vat...scc must be under 150k.
    Hmmm....to secure future milk supplies...

    What's going on?

    Edit.
    Scc 151 to 299 fined 6cpl.
    Scc 300 to 400 fined 18cpl.
    Minimum collection 13k litres

    Serious scc fines, you any issues staying under 151 in summer? You'd be wondering alright, if you took it and they started pulling price after Nov would you be caught then trying to move somewhere else as in would they take you back in coop?


  • Closed Accounts Posts: 3,551 ✭✭✭keep going


    great idea,i however am staying put;)


  • Closed Accounts Posts: 2,471 ✭✭✭Panch18


    Farmer Ed wrote: »
    The idea that the co op would not take your milk is just probably the biggest lie ever spun by co ops in an effort to get people to sign contracts. Under co up law the co op is obliged to take all your milk if your a shareholder. That's the law full stop as for not taking new suppliers in times of poor milk price? Just a month ago almost every farmer who had gone to Arrabawn who met Dairygold reported they were asked to come back.

    Apparently Dairygold mustn't have enough powder in stores.

    With Kowtow's idea the coop as we know it would not exist - so no they would be under no obiligation to collect it


  • Closed Accounts Posts: 2,471 ✭✭✭Panch18


    kowtow wrote: »
    Its a market place allowing every farmer to contract directly with every and any processor on whatever terms they agree, fixed or otherwise. A sensible farmer might supply more than one processor and on different contracts.

    The coops would just collect and deliver.

    It would spawn new high value processors and force the others to compete for milk (and of course move prices realistically and rapidly when there is too much milk)

    It would be a huge change and it would upset a lot of vested interests, but done properly it would be world leading and as important in its own way as the coop movement.

    Connect the farmer closer to his customers (deliberate plural).

    Why would anyone not do that?

    Sorry but why would Danone or Nestle or whoever agree individual contracts with literally thousands of irish dairy farmers when they can phone up glanbia or dairygold and say drop us down a few ton of powder there on Monday and only have to mess around with 1 or 2 contracts?


  • Closed Accounts Posts: 20,633 ✭✭✭✭Buford T. Justice XIX


    Panch18 wrote: »
    Sorry but why would Danone or Nestle or whoever agree individual contracts with literally thousands of irish dairy farmers when they can phone up glanbia or dairygold and say drop us down a few ton of powder there on Monday and only have to mess around with 1 or 2 contracts?
    Because they love us???




  • Registered Users, Registered Users 2 Posts: 6,135 ✭✭✭kowtow


    Panch18 wrote: »
    With Kowtow's idea the coop as we know it would not exist - so no they would be under no obiligation to collect it

    No reason why they can't be obliged to collect as they are today. In fact they can comfortably be given geographical monopolies without any danger to the farmer's profits - they would still have the milk collection charges, inputs, retail etc.

    In fact there would be no reason why they can't also maintain their own processing businesses, as long as the obligation to collect and distribute is transparent and separate. I'm sure many people would choose to have at least some milk going into their existing local co-op and they could continue to do so... but the opportunity for the co-op to get fat and lazy or greedy while monopolising a milk supply would vanish..

    Equally farmers wanting to invest in and profit from value added processing wherever it is in the country could be free to do so, with or without an attendant milk supply agreement for all or some of their milk.

    Think of it as "virtual co-ops"


  • Registered Users, Registered Users 2 Posts: 6,135 ✭✭✭kowtow


    Panch18 wrote: »
    Sorry but why would Danone or Nestle or whoever agree individual contracts with literally thousands of irish dairy farmers when they can phone up glanbia or dairygold and say drop us down a few ton of powder there on Monday and only have to mess around with 1 or 2 contracts?

    There need be nothing complicated in offering and bidding a standardised contract electronically. In fact it would save existing hedging costs as there is a broad spectrum of supply with different risk profiles.

    At a different level the specific partnership with named farms allows supplier pools to exist more easily - giving traceability / publicity & a back story to products - as the supermarkets now do in the UK.

    Where appropriate milk can conceivably be dried on contract at the delivery point...

    all in all that type of system is the way to maximise efficiency & competitiveness in a commodity market. If you look at wholesale markets for energy or telecommunications that is exactly how things are set up. British Telecom doesn't put up poles & cables in Nigeria or bury undersea cables unless it wants to, it buys capacity & bandwidth in real time at the best available price.

    Which is one reason that I doubt very much it will happen here!


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  • Registered Users Posts: 630 ✭✭✭Henwin


    any idea on what Kerry are paying for March milk?


  • Closed Accounts Posts: 3,170 ✭✭✭WheatenBriar


    My sources tell me GiiL aim to have the base price at 20cpl by june whether we like it or not
    Theres board representation for ya...
    Theres a leading price on your peak milk for ya....


  • Closed Accounts Posts: 20,633 ✭✭✭✭Buford T. Justice XIX


    Henwin wrote: »
    any idea on what Kerry are paying for March milk?
    As little as possible.

    Talk of base of 24c but a lot depends on how much pressure is put on before AGM.


  • Registered Users, Registered Users 2 Posts: 1,495 ✭✭✭cjpm


    Dawggone wrote: »

    This morning an 'executive' from the baby powder plant rocks up to the farm saying that he's got an offer for me...
    To secure future milk supplies he's offering 30cpl until July and they will offer 33cpl until November....


    Any chance you have that fellas phone number....??


  • Registered Users, Registered Users 2 Posts: 7,055 ✭✭✭kevthegaff


    So is glanbia 24 including ornua/glanbia top up? Any word on arrabawn?


  • Registered Users, Registered Users 2 Posts: 29,865 ✭✭✭✭whelan2


    My sources tell me GiiL aim to have the base price at 20cpl by june whether we like it or not
    Theres board representation for ya...
    Theres a leading price on your peak milk for ya....
    Sure thats no problem, we all just lie down and let it happen


  • Registered Users Posts: 106 ✭✭johnny122


    yes it always best to spread the costs around unless you want one company have you by the balls .this is going to be along painfull yr i think , and here i have just bought a new bulk tank :(

    What tank did ya buy. Whts d. Thinking of one myself.


  • Registered Users, Registered Users 2 Posts: 11,358 ✭✭✭✭mahoney_j


    kevthegaff wrote: »
    So is glanbia 24 including ornua/glanbia top up? Any word on arrabawn?

    Yes but it's 22 plus solids not 24 plus solids


  • Closed Accounts Posts: 3,433 ✭✭✭Milked out


    fear of change is not a reason to stay put and be treated like gill slave . i was seen as a mad man when i left wmp to go strathroy it was jump into the unknow . but it was the best thing i have done has a farmer . althought i was our family founder memebers of wexford creamery nearly 60 yrs of history . see the likes of gil are banking on ye staying put but say up to 1000 suppliers say we have enough and we are out and moving to new coop how can they stop you . its time to rise up and fight for your farm and your families . cant depend on ifa they are worst than useless . arrange meeting in your areas talk to your local fellow suppliers find out they think act now , either that or as whelan said give out at the local ifa which is worthless . we have to get the support of the irish people behind us expose the wages of the glanbia management and what we get in return . if you ask any coop prvt they will tell you they hate glanbia , but they are scared to take them on . but if glanbia are fighting a revoultion with thier own suppliers den its game on and bergin will have a different smile on his smug face . we have to think outside the box and if that means forcing gill hand in changing the way they do bussiness so be it .

    What are sthrathroy paying and at what solids?


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  • Closed Accounts Posts: 3,170 ✭✭✭WheatenBriar


    Milked out wrote: »
    What are sthrathroy paying and at what solids?

    Last month 29c at 3.3 etc from a supplier who showed me his 1 page statement


This discussion has been closed.
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