UFU calls for firms to follow Dale Farm lead on milk

UFU official William Irvine
UFU official William Irvine

The Ulster Farmers’ Union has called for all dairy processors to follow the example set by Dale Farm following an increase in base prices for June.

After disappointment when the leading processor announced a 0.5p/litre increase for May, UFU dairy chairman William Irvine said the most recent 1p/litre increase was “a move in the right direction”.

“We want to see other processors following suit without delay,” he said.

The 1p/litre rise takes Dale Farm’s base price in Northern Ireland up to 27p/litre in June. With the additional 0.3p/litre loyalty bonus, this means suppliers will be working from a base of 27.3p/litre before adjustments.

“Based on our analysis, we expect price increases to be sustainable at good levels until the autumn at least.

“Demand for dairy products is driving commodity prices increases and should translate into base price rises for producers.

“Some see this move by Dale Farm as a way to secure their supplier base, and it is welcomed.

“Other processors must follow their lead and share market gains with their producers This will go some of the way towards to further helping local dairy farmers recovery from the devastating period of prolonged low milk prices.”