Irish liquid milk farmers are making a massive exodus from the sector because rising costs during the winter are no longer covered by the premium, reported the Irish Farmers Association (IFA).
Keith O’Boyle, IFA liquid milk chair, said: “Last year 20 per cent of liquid milk producers exited the sector. Escalating costs have eroded the profitability and sustainability of liquid milk producers.”
“Since last winter, feed energy and fuel costs have risen by 14 per cent, 21 per cent and 22 per cent respectively and that’s before fertiliser, which will be more than double next spring.”
He added that the retail price of milk has remained the same for the past decade contrasting with a big rise in input costs.
The National Milk Agency estimates that 70 per cent of milk sells under private label, which usually has a 27 per cent discount.
“If retailers and consumers want a consistent supply of high-quality, fresh milk throughout the year, they simply will have to pay more for it,” said Mr O’Boyle.
The IFA claims have been backed by prominent Irish food journalists, John and Sally McKenna, who say Irish dairy farmers have not received the recognition and credit they deserve for the quality of the milk they produce or for being custodians of the land.
LSL News.