The IFA grain committee has met with the chair and vice-chair of Glanbia to convey what they term as “anger among growers” over the 2019 base grain price.

Dairygold is paying €355/t for oilseed rape at 9% moisture. While the total barley price is only €2/t ahead of Glanbia's, the big difference is in the base price.

Dairygold is paying a base of €138/t with a €5/t top-up, which is €10/t clear of the Glanbia base.

Lagging behind

“Other buyers of grain have stepped up with a stronger price. It is inexplicable that Glanbia are lagging behind. We recognise that grain markets are challenging, but there is scope to place a higher value on Irish grain,” IFA grain chair Mark Browne said.

He said that there must be a “significant move” from Glanbia.

“According to official Teagasc figures, even with decent grain yields this season, these base prices will leave tillage farmers operating below the cost of production.

Glanbia and others cannot ignore the strategic importance of the tillage sector

“Glanbia is a major buyer of Irish grain, but it is unacceptable to pay an unsustainable price for native quality-assured grain.

“Apart from drought-hit 2018, five of the last six years have seen grain prices which have been either below or just at the cost of production. This has been reflected in the 20% decline in tillage acreage since 2012.

“Glanbia and others cannot ignore the strategic importance of the tillage sector to the broader agricultural industry and the critical role native grains play in relation to Ireland’s food provenance credentials.”

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