LacPatrick announced a 1p/l increase to its December milk price after its monthly board meeting on Tuesday of this week, making it the only NI processor to increase price for milk supplied last month.

While the co-op held its base price at 26.5p/l, the board decided to increase the winter bonus payment from 1p/l to 2p/l.

This brings LacPatrick suppliers on to an all-in base of 28.5p/l before adjustments for milk quality and volume.

According to the co-op, the decision to increase the winter bonus to 2p/l comes from improved returns, as well as delivering on the board’s commitment to pay the best possible price to suppliers before its planned merger with Lakeland is complete.

Back in October, the co-op had cut base price to 26.5p/l and decided not to pay a winter bonus that month.

This was a catalyst for several suppliers to switch to a different processor in the final months of 2018, with LacPatrick losing around 50m litres, mostly to Dale Farm and Glanbia Cheese.

However, both processors now trail LacPatrick on milk price for December.

Aurivo

Also declaring a price in the last week was Aurivo, who held at a 26.5p/l base price. With a 1p/l bonus in December, it is an all-in base of 27.5p/l for December.

See next week’s milk league for a full analysis on December prices.

Meanwhile, improving commodity markets at last week’s GDT and Dutch Dairy Board auctions have had a positive impact on the milk price indicator (MPI) published by the Ulster Farmers Union. The latest MPI has increased by 0.39p/l from the beginning of January, and now stands at 27.89p/l.

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