Farm families across the country milking cows are paid for milk delivered to co-ops in euro per kilo milk solids (€/kg MS). However, the industry and farmers talk in cent per litre (c/l) in everyday conversations.
In the same way pence per pound is gone from the beef game, so ‘cent per litre’ should disappear from the milk game. Co-op directors should lead from the front on this when setting and announcing milk price.
Connacht Gold (now Aurivo) and Glanbia (now Tirlán) led the industry charge almost 20 years ago, in paying for milk using milk solids. It made sense then and makes sense now.
Volume (water) is a deduction, and removing it is a much greater cost now than it was 20 years ago. The milk factories want to be able to make more cheese, powders and butter.
If they get milk with lower volume and higher fat and protein, they can. Aidan Brennan is now displaying the monthly milk league on milk solids only (see p29).
He has changed the layout to re-emphasise the importance of milk solids. The other significant change is to now base the milk league on 200,000 SCC rather than 250,000 SCC.
As farmers have invested in new technology and advice, they have gradually reduced cell count on milk delivered.
Again, co-ops see the benefit and are incentivising this with added bonuses to make it a win for the co-op and the farmer.
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