After being in place for a good number of years, the Dealer got wind that some dairy farmers are looking for some changes to be made to the C element of the A + B - C milk pricing system.
With increased energy costs some dairy farmers are wondering if tweaks are needed in the milk pricing system?
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I’ve picked up a few whispers from dairy farmers that in light of soaring energy costs milk processors may need to reconsider the C element within the A + B – C milk payment system.
With rising energy costs for the second year since 2022 some milk producers feel that the work they’ve done to improve milk solids isn’t being rewarded.
The C refers to the processing charge and currently these charges vary across dairy co-ops from 3.35c/l to 4c/l while the Ornua PPI estimates the actual cost to be 9.5c/l.
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Is it a discussion that needs to be had?
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I’ve picked up a few whispers from dairy farmers that in light of soaring energy costs milk processors may need to reconsider the C element within the A + B – C milk payment system.
With rising energy costs for the second year since 2022 some milk producers feel that the work they’ve done to improve milk solids isn’t being rewarded.
The C refers to the processing charge and currently these charges vary across dairy co-ops from 3.35c/l to 4c/l while the Ornua PPI estimates the actual cost to be 9.5c/l.
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