Milk Price III

Glanbia cheese in wales with a price rise of 3 pence a litre from Jan 1st, up to 33p, 40 cent converted to euros….

Great to see they can pay for milk when they have too

Just shows the sheer folly of the EU and its plans to ramp up organic production, and spells out loud and clear that the public masses want cheap food at the lowest possible price, with environmental concerns with how it's produced not even on the vast % of buyers minds....

Interesting to see lidl are after giving an extra 4 pence a litre to muller suppliers that where locked in on a 29 cpl 3 year fixed contract as their was a genuine fear if they didn't, the contracted farmers simply wouldn't supply the volumes they were signed up for, our simply just quit milking altogether, the bigger herds over their are in serious trouble for Labour with the usual migrant polish/Eastern Europeans not around anymore with Brexit

Aurivo at 38c

And lmfm

Louth meath

What do ye think will happen next year with price, will it reach 40 base and they'll hold for the year or will it keep rising. Arrabawn are using gas for processing, this will probably affect price

It should Kev ,Arrabawn are using gas like most others ….they also benefited from the increased processing cost from ornua this year ….also the casein plant which we pumped millions into (wisely)is going v well and churning out quality premium products ….we should be at or v near 40 now if it wasn’t from the fallout of what happend in kilconell last year …I expect base to hit 40 but what processor is going to have the balls to hit it first ….our area meeting is in Birr next Monday night if u can you should attend

No one knows what will happen …this is not normal times …Covid and then all the enviro regs which are going be a quota in all but name then increased fertiliser ,feed ,fuel and power etc …supply and demand will remain in farmers favour I think

The thing is at present input costs 40c is not a very high milk price!

It should be at least 50c. What price was it 40 years ago in today's money? The only reason processors will pay is to ensure supplies which they need in order to protect their own profits/margins. The amount of people willing to milk cows for 40c worldwide must be falling every day.

Teagasc are forecasting the same price as 2021 for next year is it. I didn't pay much attention to the article.

Same on business section on todayfm, no linking of energy costs to food...

The biggest mistake that any business can make is that you costs will always be covered. Inflation is immaterial. My own opinion is feedlots will struggle to produce milk or meat. However most may have forward bought product for 4-8 months. This could carry them through to.mud summer next year. It way happens next March/ April that will decide what they do. If they think the market will not cover costs they will not continue production, they will cull cows until price reflects costs.

Most Irish product, cheese, butter, dairy products are tied to long term contracts, that was why when during the high priced Glanbia/ Kerry struggled while Dairygold paid a great milk price as it basically sold most product as milk powder. When you the glut came 12-18 months later Dairygold's price struggled if I remember right.