The Irish Farmers Journal understands that Ornua has delivered some €4m of funding for co-op support for fixed milk schemes directly linked to schemes offered by their member co-ops.
This Ornua funding, together with co-op support from the co-op itself, is allowing co-ops to make top-up payments to milk suppliers that have a lot of milk in fixed milk price schemes.
Last week, we reported on the top-ups some co-ops are making while others stay away from direct support.
Speaking to the Irish Farmers Journal as they reported annual results for 2021, Ornua CEO John Jordan said: “We have supported price to the tune of 10c/l on 10% of the volumes so far and right now, that money has come out of Ornua funds. But, we are in discussions with our customers in the market place.”
Ornua reported increased funds for members, up from €68m to €78m in 2021.
As a result, like-for-like operating profits and earnings for the global exporting giant were back compared to 2020.
May milk supply down again
Kerry, Glanbia, Dairygold, the four west Cork co-ops and Aurivo in the west are all back in May milk supply, with Dairygold in particular back 2.6% compared to May 2021.
Kerry is back 3% year-to-date, Aurivo May supply is back 1%, while Glanbia estimates suggest May supply is also back almost 1%.
Bucking this downward trend are Arrabawn and Lakeland Dairies. Arrabawn are reporting May milk supply up 2.8% for the month, while Lakeland are up 5% for May.
Down in the south west, Drinagh is down 3.6%. Lisavaird is down 4%, and Bandon Co-op is down 3.7%. Last year, the CSO reported May milk supply at 1.18bn litres.
However, if over 80% of the milk pool is down between 1% and 4%, it is likely that when the final tally is done, May milk will be down over 20m litres in 2022.