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The higher value put on milk solids under its hybrid A+B-C model sees Tirlán/Fivemiletown top the NI milk league for September, despite paying the lowest starting price across all processors.
Tirlán increased its base by 0.5p to 40.15p/l, which includes a 0.4p/l sustainability premium, putting the Republic of Ireland based co-op more than 1p/l behind the highest base price on offer last month.
However, once all adjustments are factored in for milk quality, Tirlán climbs one place to top the table with a price paid of 43.54p/l – it is the seventh time the co-op has led our monthly analysis in 2024.
Milk quality
September sees monthly milk supply in NI milk reaching its lowest volume for the year.
As milk volumes decline, milk solids tend to go in the other direction and therefore, have a bigger impact on the final prices paid to farmers.
The September league is calculated at 4.26% butterfat, 3.40% protein, 4.67% lactose, 24 TBC and 206 SCC with these figures being the actual NI averages published by DAERA for the same month last year.
Chasing pack
Behind Tirlán, Dale Farm slips one place to second on 43.23p/l and while it paid the highest base price for September, transport deductions and lower premiums for milk quality, leave the NI co-op behind Tirlán.
Lakeland Dairies jumps two places to third on 43.2p/l. That is almost 3p/l above its base of 40.3p/l, which reflects the significant premiums now available from the co-op for butterfat and protein as well as a 50% increase in volume bonuses from September.
Leprino Foods also gains two places and finishes fourth, after making the largest increase of any processor to base price for September milk.
Its 0.4p/l mozzarella bonus also boosts its final league position.
That leaves Strathroy slipping two places to fifth, despite a 1p/l rise to a 41p/l base, while Aurivo also slides two places to finish bottom of the table.
12-month rolling average
Tirlán continues to lead when comparing milk prices over the rolling 12 month period ending September 2024, paying an average of 38.73p/l.
Dale Farm is second on 37.64p/l with no positional changes across the remaining processors when compared to the previous league.
Milk quality
While the monthly league is calculated at a standardised fat and protein, Figure 1 estimates the monthly pay-out to a 750,000l supplier, using the average fat and protein values recorded by each processor for September.
Tirlán has the highest pay-out of £23,320 followed by Dale Farm on £22,802. Despite finishing bottom of our monthly milk league, Aurivo is in third thanks to the higher solids produced by its suppliers for the outlined month.
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