Milk Price III

we were told it was back …but not to same extent as other commodities like butter,skim etc

See DG are holding a shareholders meeting next Thursday to explain the milk price.

They messed up it seems by not forwarding selling their butter stockpiles and are now sitting on warehouses full of butter that is returning prices of sub 40 cent at current prices, it was poor risk management...

Id be surprised if milk prices start with a 4 come feb/march, we could be nearer 30 than 40 base price come next may, the world's awash with cheap grain and high input herds will simply keep pumping milk out even at milk prices in the low 30's next year

hopefully lads come out in force for this …a clear message needs to be sent to the Dairygold board …..and other coop boards that they need to be accountable and clearer pathways need to be put in place to allow more farmers run for these positions without been tied to heavy trading requirements to get seats etc

Where have you been the last 10 years or so? Nearly every processor was piling into expansion before quotas ended, throwing up stainless like there was no tomorrow. The government was pushing the same line. Rememeber the days Coveney was cheerleading for more exports to boost the national economy, foodwise, harvest 2020. The processors loved it, but really the ordinary farmer who didn’t expand saw no benefit, it just watered-down value-added products. Covid and Ukraine have masked the usual boom-and-bust cycles the last few years, that is slipping now with oil prices much lower. we’re the ones carrying the can for the debt and overcapacity. Honestly,very few if any coops have any debt anyway.

I see the processors new idea of masking their terrible management is now acquisitions and buying growth. They appear to have run of ideas, well they never really had any anyway other than to dump it all into commodities.

It will all be wanted I'm afraid as dairy markets are on a serious downturn.. in 2022 we had 10 straight months of base milk price over 50c... in spring 2023 we went from a base of 56c down to 40c in space of 3 months... 2023 and start of 2024 was by all accounts the worst year and a half ever experienced by dairy farmers... we have had a very very good 6months since March 1st... unfortunately we have cows in by nite now with nearly 3weeks and they won't see grass by night again til 2026... incalf heifers coming in this evening... and now milk price cuts are coming thick and fast... and I'm guessing much more to come... Butter has dropped nearly a thousand/ton in 2 weeks..

Concentrates are plentiful and good value at the moment so the high input producers across the world will feed hard and that could keep price depressed for a prolonged period...

There is no bottom to it.

best case very low 40s ….if I’d to call it now I’d say somewhere in 36/40 bracket …not looking good

Prepare for the worst, accept the best.

Personally I'll hoping for low 40s

Was talking to my builder a few days ago and he said has a couple of dairy clients putting jobs off.

41 with a quick rebound. April to see an increase.