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Dear sir,
The topic of the Kerrygold brand and Ornua is a much-needed debate. It is well known that Kerrygold is the leading brand in most world markets. However, despite its phenomenal success, I ask what has this success brought to Irish dairy farmers, its ultimate owners through their co-ops?
While Kerrygold flies high on world rankings, Irish dairy farmers continue to receive disappointing milk prices. These prices are near the bottom of the European price league and too often the bottom of world prices.
This can be verified by various price comparisons printed in the Irish Farmers Journal over the decades and backed up by various price leagues.
Ornua has failed to deliver to Irish dairy farmers while owning the leading butter brand in the world.
Yet, both the Irish Farmers Journal and the IFA seem to defend its position.
Why was the Truly Grass Fed brand created? Simply, it was created from a need to focus on returning a higher price to its suppliers, Irish dairy farmers.
Speaking of Irish co-ops, Eoin Lowry stated in his article on 27 October that “It [Kerrygold] has catapulted them to the level today and allowed many to survive.”
It seems that the profits from the world’s leading brand serve to fund the survival of inefficient co-ops, rather than being channelled into milk prices.
If this is not the case, where are the profits going?
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