Milk Price III

Who supplies the milk for Danone products? Was in shop this morning and apparently there's a shortage of Danone products atm?

whelan2 wrote: »

Who supplies the milk for Danone products? Was in shop this morning and apparently there's a shortage of Danone products atm?

Various coops, dairygold, glanbia, arrabawn I think anyway. Danone and Pfizer both imported a **** load from Europe last year as well

Buford T. Justice VI wrote: »

Just a quick note for Kerry suppliers. The figures being talked about for the shortfall in payments in milk is something like

2015..0.73c
2016..1.7c
2017..1.8c
2018..2.2c
2019..2.3c

No idea as yet whether interest is due on those figures and they are subject to change depending on what agreement comes about. Failing an agreement, the parties involved will go back to the arbitrator again and he will make a determination then.

Also, think twice about fixing milk in the scheme starting on Tuesday as any milk in the fixed price schemes don't seem to be eligible for any top up payments at the minute. So you would seem to be needing in excess of 31.8c/l @3.6/3.3 to match the current base price?

Meeting tues night in ballyroe presume there will be more information provided on the night as to where is everything is at at the min....?

awaywithyou wrote: »

Buford T. Justice VI wrote: »

Just a quick note for Kerry suppliers. The figures being talked about for the shortfall in payments in milk is something like

2015..0.73c
2016..1.7c
2017..1.8c
2018..2.2c
2019..2.3c

No idea as yet whether interest is due on those figures and they are subject to change depending on what agreement comes about. Failing an agreement, the parties involved will go back to the arbitrator again and he will make a determination then.

Also, think twice about fixing milk in the scheme starting on Tuesday as any milk in the fixed price schemes don't seem to be eligible for any top up payments at the minute. So you would seem to be needing in excess of 31.8c/l @3.6/3.3 to match the current base price?

Meeting tues night in ballyroe presume there will be more information provided on the night as to where is everything is at at the min....?

Has that meeting been notified somehow?

"At least milk price is good"

How can this delusional comment be doing the rounds?.hearing it from reps, lorry drivers, landlords and even farmers..

Here's our Aug and March milk price for last 3 years...were falling way behind the other Europeans.. something is seriously wrong

Mar Aug
19 33.96 32.35
18 34.93 36.49
17 33.83 40.48

8c/l down on '17..look at the normal lift in price between March and August..

Markets have not weakened like that..

kevthegaff wrote: »

I'm wondering are the processors realising that as beef is unprofitable, new entrants galore they can reduce price as options for current dairy farmers are limited. Maybe we are becoming like the beef men, price takers. Worrying the next few years especially if world production ramps up

World production down atm supposedly

Buford T. Justice VI wrote: »

Ireland would be the odd man out. Production up here from 5.3B litres to 8.2B litres since the ending of quotas.

Irish farmers are special. Can't be stopped.

From the journal...some committing to end of cuts..

What’s the short-term milk price outlook?

Arrabawn chair Edward Carr: “That’s the end of the price cuts unless something happens we don’t know about. Butter and other market signals have improved.”

Glanbia chair Martin Keane: “It’s a wait and see for our business and another month will tell a lot. There is still a lot of uncertainty out there. Consumer sentiment is still that bit flat and it’s an unreceptive market.”

Dairygold chair John O’Gorman: “I expect that we are close to bottoming out. We are investing heavily so like all businesses we have financial commitments. I can’t guarantee anything, but I agree the market looks like it’s improving.”

Lakeland chair Alo Duffy: “Brexit is the big unknown but we are hopeful we will get a deal. Our value-added component is helping us. Butter was the concern, but the market seems to have stabilised.”

Aurivo chair Pat Duffy: “The sentiment is positive. Yesterday’s New Zealand auction result helped. The oil attack this week will probably hike processing costs, but, in time it might also help product price.”

Kerry spokesperson: “Global demand and pricing remain under pressure. Market expectations are for a gradual recovery through 2020.”

Carbery chair TJ Sullivan: “We’d be confident that the market is improving, but we have to qualify it as 31 October [Brexit] is coming, and there is no solution on the table just yet.”

Playing devils advocate, but brexit is not helping our price

Panch, two problems with board members, firstly most are, yes men. Secondly, they don't have the ability.

Buford, fully aware of the balance between milk price and coop profitability. It's more about competent management and a Board holding them to account.
Management have often prioritised their own renumeration and pensions than fullfiling their jobs. The era of quota and intervention made them especially lazy.
Make a commodity product and feck it into intervention.

Fyi
Strathroy down 0.5c @29.52 + 0.5 quality bonus