Milk Auction Disappointment
UK - The Ulster Farmers’ Union has described the outcome of this weeks Northern Ireland milk auction as very disappointing.
25 January 2008
2 minute read
UFU President Kenneth Sharkey said that with dairy farmers facing a surge in the cost of feed, fuel and fertiliser, it was worrying to see milk prices fall again this month.
Kenneth Sharkey said; “The dairy sector has enjoyed strong prices through the second half of 2007 but it is worrying to see a trend emerging where prices are falling at the auction. Prices are down again and processors rejecting option milk continues to be a problem; but in our opinion there are many good reasons why buyers should be more confident. The price is 26% higher than the corresponding auction last year and while this is welcome, it is also badly needed to offset rising production costs”.
83 million litres of milk sold this week for an average price of 22.39 pence per litre, down from 23.56 pence per litre last month, but well up on the corresponding figure last year of 17.73 pence per litre.
The UFU has highlighted a number of factors which it says should be leading to stronger prices:
- Whole Milk Powder and cheddar cheese markets (our main export products) are both strong, with prices approximately 30% higher than twelve months ago;
- The value of the Euro is at an all time high against sterling, another factor which should be strengthening our export ability.
- Retail prices for liquid milk remain strong.
TheCattleSite News Desk
