Milk Price III

Mortelaro

CRH
Cement roadstone holdings

https://www.irishtimes.com/business/construction/crh-cuts-management-salaries-by-25-and-temporarily-lays-off-12-000-1.4234939

Gary kk

Now you know the laid off 12000 people for the short term and that increased the value of the shares in CRH by just over 7%. So they are not a good comparison

Mortelaro

Gary kk wrote: »

Now you know the laid off 12000 people for the short term and that increased the value of the shares in CRH by just over 7%. So they are not a good comparison

Glanbia doesn't need to lay off people
It could reduce senior management and board members salaries though to help fund a cpl on milk

kevthegaff

https://www.agriland.ie/farming-news/milk-price-tracker-2020-how-does-your-milk-price-shape-up/

straight

Any work on the kerry arbitration?

Buford T. Justice XIX

Timmaay

Buford any idea how does it compare year to date?

kevthegaff

That wasnt good

Buford T. Justice XIX

Timmaay wrote: »

Buford any idea how does it compare year to date?

That I don't know, Timmaay. But seeing as it's a choice of watching Fortnite or 1,000lb sisters, I'll have a look at the results since the start of the year.

Buford T. Justice XIX

The results since the start of the year...
+2.8% Jan 7th.
+1.7% Jan 21st
-4.7% Feb 4th
-2.8% Feb18th
-1.9% Mar 3nd
-3.9% 17th March
+1.2% 7th April
-4.2%21st April
-0.8% 5th May
The figures are a bit skewed for us in that WMP is a huge part of the auction figures while Skim and Butter and, to a lesser extent, cheese is important for our markets so a rise or fall in WMP is going to carry the auction result in a sometimes different direction to what we would be experiencing.

So the sales prices for our main products today versus 7th Jan are
Skim $2,383 v $3,026
Butter $3,867 v $4,029
Cheese $4,115 v $4,015

So cheese more or less steady, butter back slightly and skim dropping a lot.

mf240

What are we looking at in terms of milk price, hold for April or another drop.

Buford T. Justice XIX

mf240 wrote: »

What are we looking at in terms of milk price, hold for April or another drop.

It's looking like a drop. Reports are saying markets have firmed up in the last few days and the continent reopening over the next few weeks should drive a bit of demand.

But processors always seem to find a reason for dropping. It's not like they haven't already forward sold a large share of produce at prices above what we're getting now. They'll drop it as fast as they can and rise it very slowly afterwards, as always. Coming at peak supply, this is a godsend for them:(

greenfield21

Where is kowtow when we need him to make sense of this market and what the future holds ha, he dropped a few gems on this website during the last downturn in 15/16 always liked reading his views. No doubt those same posts are as relevant today. He's up there now in boards heaven with all the others. We miss you kowtow.

Mortelaro

IFA wrote:

IFA TO CO-OPS: TARGET COSTS WHEN SETTING APRIL MILK PRICE

Co-ops went too far in March, cutting milk prices by up to 2c/l when up to 30% of the spring milk was most likely sold forward at significantly higher than current prices. 

Best evidence of this is that the French contract quotes for butter as we write (7th May), while admittedly easing, are €600/t above their spot quotes.  Equally, German retail butter quotes were up to €1000 above spots in the last week in April.

 

Our estimate is that, over the peak months ofMarch to June, the March milk price cut alone will take €58m out of farmers’ pockets.

 

There is no denying the severity of the challenge COVID19 is causing for dairy markets the world over.  However, for the last 3 to 4 weeks, spot dairy commodity quotes have been stabilising, and the doomsday prediction of dairy prices collapsing to intervention levels and Irish SMP going into intervention in massive quantities have not materialised. 

 
Link to article here

farmertipp

coops won't miss the chance to cut it a cent for april

visatorro

farmertipp wrote:

coops won't miss the chance to cut it a cent for april

Wouldn't be too bad if it was just a cent!

mahoney_j

visatorro wrote: »

Wouldn't be too bad if it was just a cent!

I agree but the likes of agriland ,journal coop ceos etc have us all sucked into expecting drops time to fight back and remind our farmer elected reps who and why we voted them in

Mortelaro

Glanbia down another 1cpl 'due to coronavirus ' to 28.42 cpl
They are saying average price paid to suppliers is above 31cpl taking credit for farmer solids again
The 28.42 seems to include the farmer share of glanbia Ireland profit of 0.42 cpl
(I'd say now,theres a lot more than 0.42cpl available...)

https://www.glanbiaconnect.com/news/glanbia-milk-price-april-2020

whelan2

Mortelaro wrote: »

Glanbia down another 1cpl 'due to coronavirus ' to 28.42 cpl
They are saying average price paid to suppliers is above 31cpl taking credit for farmer solids again
The 28.42 seems to include the farmer share of glanbia Ireland profit of 0.42 cpl
(I'd say now,theres a lot more than 0.42cpl available...)

https://www.glanbiaconnect.com/news/glanbia-milk-price-april-2020

Let the farmer take the hit and no makey up payment either...

Mortelaro

whelan2 wrote: »

Let the farmer take the hit and no makey up payment either...

Yes you'd have to ask are we the farmer the insurer of last resort for all those high executive salaries in Glanbia Ireland

atlantic mist

in light of covid all processors could reduce profit margin

whelan2

Mortelaro wrote: »

Glanbia down another 1cpl 'due to coronavirus ' to 28.42 cpl
They are saying average price paid to suppliers is above 31cpl taking credit for farmer solids again
The 28.42 seems to include the farmer share of glanbia Ireland profit of 0.42 cpl
(I'd say now,theres a lot more than 0.42cpl available...)

https://www.glanbiaconnect.com/news/glanbia-milk-price-april-2020

The base price is 28cpl and should be stated as so in any articles. The 0.42 is a top up. I am guessing this will again be the lowest base price of any creamery for April. Well done glanbia

Timmaay

whelan2 wrote: »

The base price is 28cpl and should be stated as so in any articles. The 0.42 is a top up. I am guessing this will again be the lowest base price of any creamery for April. Well done glanbia

It should actually read the base price of 26.56+vat for glanbia to be fully transparent about what is coming directly from them.

whelan2

Timmaay wrote: »

It should actually read the base price of 26.56+vat for glanbia to be fully transparent about what is coming directly from them.

Also the plug about average milk price being over 31cpl , that's due to the constituents, the farmers own work, not glanbias

K.G.

mahoney_j wrote: »

I agree but the likes of agriland ,journal coop ceos etc have us all sucked into expecting drops time to fight back and remind our farmer elected reps who and why we voted them in

Well you have basically 2 options, sell at price available or store in the expectation that the price will rise.you can make a big song dance but bottom line the market is what it is.

alps

K.G. wrote: »

Well you have basically 2 options, sell at price available or store in the expectation that the price will rise.you can make a big song dance but bottom line the market is what it is.

The market is never just what the market is...

The market is what it is if its irrelevant how much you can sell it for as all you have to do is readjust your raw material prices after you've sold the product and you know what you got.

Imagine thaking cattle to the mart and depending what price you got you then decide how much you're going to pay for your fertiliser and feed...

alps

IT spot milk price down to 28.8 cent per kg (3 May), compared to 29.8 cents per kg on 26th April. EU-27 average farm gate milk prices in March decreased by 2.2% since last month but was still +6.6% above last 5 years average

alps

..

Buford T. Justice XIX

Any news on Lakelands?

Farney Farmer

Buford T. Justice VI wrote: »

Any news on Lakelands?

Down a cent to 29 inc vat.