Dairy farmers protest over price

Discussions on the future of the Irish dairy industry took place last week at the Department of Agriculture following pressure…

Discussions on the future of the Irish dairy industry took place last week at the Department of Agriculture following pressure from farming groups which claim the industry is in crisis.

Severe cuts in the price dairy farmers receive from Glanbia and Lakeland Dairies sparked off protests in Cavan and Kilkenny, where farmers demanded a guaranteed price of 26 cent per litre of milk.

Suppliers to Connacht Gold were also faced with cuts of two cent per gallon, with a further cut expected this month. The Kerry Group has not yet decided on its price for May and Dairygold will meet on May 18th to fix its price for the coming month.

The price farmers have been receiving has been falling because of a fall in global demand and because of cuts in EU market supports which were part of the reform of the Common Agricultural Policy.

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The processors claim that the cutting of these supports has cost them millions, and say they are also under pressure from rising energy and labour costs.

The poor weather of recent weeks, which has also meant that farmers had to keep their cows indoors because of a lack of grass, has added to the frustration.

A recent small increase in EU export refund rates for butter and whole milk powder agreed last weekend should also ease some of the difficulties faced by exporters.

Further meetings are due to take place between the Minister for Agriculture, dairy processors and farmers.