April 17, 2017

Ireland's milk suppliers receive lower prices than European counterparts

Dairy co-ops in Ireland continue to pay prices, lower than other European counterparts, to their milk suppliers, according to Gerald Quian, chair of Irish Creamery Milk Supplier Association.

Irish processors were "over EUR3.40 (US$3.60) per 100kg below the European average for the rolling 12-month average up to January 2017", Quian said, pointing to figures from the Dutch Dairy Board.

Outside Europe, the figure was dwarfed by New Zealand (EUR29.28/US$31.08 per 100kg) and the US (EUR34.64/US$36.77) in the same period.

"The gap that has developed is now inexcusable and must be closed," Quian remarked, noting that world demand for dairy products continues to rise at 1.5-2% per annum even as the international milk supplies in January 2017 began 1.7% below levels of the same period last year.