Lakeland increases milk price for January to 40.90c/l

Price increases by 2.75c/l

Lakeland Dairies has decided on a price for milk supplied in January with the base price increasing for all milk supplied.

A base price of 38.90c/l (3.6% butterfat and 3.3% protein) will be paid for January milk in the Republic of Ireland. The base price has increased by 1.75c/l including the new 0.5c/l Sustainability Incentive Payment.

All suppliers will automatically receive a 1c/l early calving bonus and are also receiving an unconditional 1c/l Input Support Payment to assist farmers with costs during a challenging winter period.

Overall, the price has increased by 2.75c/l and the base is now 40.90c/l. Meanwhile, qualifying farmers will also receive a 5c/l out-of-season payment.

In Northern Ireland, a base price of 31.75p/litre will be paid for milk supplied in January. The base price has increased by 1.5p/l including the new 0.5p/l Sustainability Incentive Payment.

All NI suppliers are also automatically receiving the unconditional 1p/l Input Support Payment to give an all-in price increase of 2.5p/l to a base of 32.75p/litre.

"The outlook for the global dairy markets remains tentatively positive after a period of uncertainty at the start of the year, with buyers at the time taking a reserved position, but global milk supply remains muted," said a spokesperson for the diary producer. "As we approach the crucial spring-calving season, indicators are pointing to modest improvements in the dairy markets in the short to medium term with a reasonable balance in the supply and demand dynamic. However, there are geo-political concerns, supply chain disruptions and global economic headwinds to be acutely aware of. Lakeland Dairies will continue to closely monitor the markets in the coming weeks."

Lakelands added: "We have also moved to support our farm families by introducing an Input Support Payment of 1c/l to assist them with a challenging winter period as inputs remain higher than historical levels."