Kinisla has announced a top-up payment for of 1.13c/l excluding VAT for milk supplied under contract between 1 January and 30 April this year. The payment will be based on average milk solids in respect of all milk supplied under contract during the period.
The overall value of the payment will be approximately €4m.
The cut-off date for the top-up payment is the same as the end date of the milk supply contract which had existed since the processor had been owned by Kerry Group. Kinisla issued new contracts in recent months, with the deadline for suppliers to sign those passing on 4 August.
Contracted milk
The emphasis in the announcement on the fact that the payment is on contracted milk suggests that suppliers who have not signed the contract will be excluded from any future top-up payments.
The Irish Farmers Journal understands that the vast majority of suppliers had signed the contract ahead of the deadline, but there remains a sizeable number of holdouts.
When asked for comment, a spokesperson for Kinisla would not confirm how many suppliers have yet to supply the contract, or whether those suppliers would be excluded from future top-up payments.
SHARING OPTIONS