Carbery has increased its base milk price for September supplies by 1 cent per litre, reflecting an improvement in dairy market returns. The increase could bring the average payment from the four west Cork co-operatives to 42.36c/L, including VAT, bonuses and the stability-fund contribution.
The revised price applies to September milk supplies and reflects the continued efforts of Irish dairy co-operatives to balance market returns with the financial pressures facing milk producers. However, global milk supplies remain strong, and market conditions continue to be mixed.
Carbery Suppliers Could Receive 42.36c/L
Carbery said its September base milk price would rise by 1c/L. If the increase is passed on by Bandon, Barryroe, Drinagh and Lisavaird, the average price would reach 42.36c/L, including VAT, a 0.5c/L somatic-cell-count payment and the FutureProof sustainability bonus.
Based on the actual milk solids delivered by suppliers, the average return for September milk is expected to reach 52.62c/L, including VAT. This higher figure reflects the composition of milk supplied by farmers rather than a standardised milk-solids calculation.
Carbery will also retain a contribution of 1c/L to its Milk Price Stability Fund for September.
A spokesperson for the co-operative said the increase reflected improved returns in dairy markets. However, the spokesperson noted that global milk supplies remained strong and market conditions were mixed. Carbery also acknowledged the difficulties its farmer suppliers had experienced during the year.
Irish Dairy Co-operatives Revise September Prices
Carbery is among several Irish dairy co-operatives that have announced changes to their September milk prices. The latest announcements show modest increases in quoted prices, although the final return varies according to milk composition, quality payments, sustainability incentives and other applicable adjustments.
Tirlán announced on 19 October that it would pay 40.08c/L, including VAT and its 0.5c/L Sustainability Action Payment. This represented an increase of 1c/L compared with August. The co-operative has established this figure as a minimum price for milk supplied during September, October, November and December.
Based on the actual milk constituents delivered by its suppliers, Tirlán’s average payment for September creamery milk was 50.80c/L, including VAT.
Dairygold also increased its quoted September milk price by 1c/L to 40c/L. This figure is based on standard constituents of 3.3% protein and 3.6% butterfat and includes sustainability, quality and VAT-related payments.
The co-operative reported an average farmgate return of 51.3c/L for September, calculated using the milk solids supplied by its farmers. On the European Union’s standard composition of 3.4% protein and 4.2% butterfat, Dairygold’s quoted price was 43.9c/L, including VAT.
Kinisla and Lakeland Dairies Also Update Prices
Kinisla set its September milk price at 40.35c/L, including VAT, quality and sustainability bonuses, compared with 39.6c/L in August.
Its equivalent price based on EU standard milk constituents was 44.18c/L. Meanwhile, the average return calculated using the milk solids supplied by its farmers reached 49.69c/L.
Lakeland Dairies set its September base milk price at 39.7c/L in the Republic of Ireland, including a 0.5c/L Sustainability Incentive Payment. This was an increase from the 39.1c/L paid for August supplies.
The differences between quoted prices and average farmgate returns highlight the importance of milk composition in determining the final payment received by dairy farmers. Protein and butterfat levels, quality bonuses, sustainability incentives and VAT treatment can all affect the figures reported by individual co-operatives.
Dairy Market Conditions Remain Mixed
Although the latest announcements indicate some improvement in Irish milk prices, strong global milk supplies continue to influence the wider dairy market. Price movements depend on the balance between milk production, demand and the returns available across dairy products.
For farmers, even modest increases can improve revenue, but the overall financial impact also depends on production costs and the volume and composition of milk delivered.
Carbery’s decision to increase its September base price reflects improved market returns while its continued contribution to the Milk Price Stability Fund underlines the importance of managing price fluctuations.
The latest updates from Carbery, Tirlán, Dairygold, Kinisla and Lakeland Dairies provide an overview of September milk payments across Ireland. While the increases offer some improvement for suppliers, mixed market conditions and strong global supply remain important factors shaping the outlook for the country’s dairy sector.
