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Farmers in the west of Ireland are incensed by the €300/cow difference between milk prices paid to suppliers of the highest- and lowest-paying co-ops.
“There seems to be an accepted view out there, coming from the processors, that anything over 30c/l and you are made. This has been the same for the past 10 years," said Sean Connaughton, currently milking 90 cows just outside of Boyle, Co Roscommon.
“These prices are not keeping up with the rising cost of living or the rising price of inputs," said the Aurivo supplier.
Forgotten west
With processors in the west and northwest of the country coming out the worst in the Irish Farmers Journal/KPMG Milk Price Review, farmers are calling for a more even playing field.
“We are farming in a higher cost region to produce milk. Inputs are often that little bit higher; fertiliser, straw are all generally higher,” Connaughton said.
“It’s not good enough," was his reaction to the current gap of €300/cow between the top processors and those at the bottom of the table, namely, Lakeland, Aurivo and LacPatrick.
“The further west you go the more limited your choice gets [for processors]. Many farmers have no choice but to keep supplying their current processor."
“In a bad milk price year, there is no co-op not making a profit, but there are plenty of farmers struggling," he maintained.
“Then when there is an upturn and processors are doing well, it’s frustrating to see them holding on to the profits. Farmers should be getting a greater portion of the profits.
“Some co-ops have given a 3c/l increase over the past few months but in the west we have only got 1c/l.”
Pressure on processors
His sentiments are shared by Michael Leo Morrin, who milks 110 cows near Cross in Co Mayo and also supplies Aurivo.
"People are only coming out of the hole they were in during 2016 now, with the better prices this year," said Morrin.
He is unhappy with how the western processors compare with the southern processors.
“They are not keeping in line with other co-ops throughput the country, pressure needs to be put on them to get in line. They will line their own pockets before they give the farmers the crumbs.
“The cost of production [in Mayo] is definitely higher than in other parts of the country and it’s just not being reflected.
Bonus
Lawrence McNamee from Co Donegal believes that the bonus scheme currently operated is just becoming part of the overall milk price.
“It shouldn’t take the bonus to make a living. A bonus should be just that - a bonus. It should be something extra you get for reaching targets.”
“Farmers getting 20-odd cent/litre anywhere is no use to anyone. It should really be north of 30c/l."
Annual milk price review: what it means for farmers
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