Farmers should stop crying over spilt milk

EVEN though the economy is thriving again, the vast majority of us still need to be prudent with our personal finances.

The Universal Social Charge and other levies continue to put a big hole in the average taxpayer’s disposable income. So we have become more accomplished at shopping around for the cheapest prices.

According to the Irish Farmers’ Association, however, it is ‘neither sustainable nor socially responsible’ for retailers such as Aldi to sell two litres of milk for as little as €1.30 in some outlets. But given that there is no dispute over what is being paid to suppliers, it is difficult to understand what exactly the problem is.

It is undoubtedly the case that some supermarkets are making little or no profit on milk or various other products. But socalled loss leaders have been an established practice within the retail sector for years. The basic arithmetic speaks for itself. It simply makes good business sense to sell certain staple items at rock-bottom levels as a means of attracting customers into stores.

We see it every Christmas when the various supermarket chains engage in a price war on vegetables. The big winners in all these situations are the paying punters.

Nor, it is important to note, are there any losers in this particular instance. Not only are dairy farmers still getting paid the proper rate, consumers have more spare cash to spend on other produce such as butter, cheese and yoghurts – which are, of course, coming from the very same suppliers. Everyone’s a winner.

Meanwhile, any concerns that price reductions will affect the reputation of Irish milk are misplaced. Our agricultural output is held in such high regard internationally that it is unthinkable there would be any negative impact.

As we all know to our cost, householders and taxpayers have been through a very testing decade. Many among us aren’t out of the woods yet.

When it comes to the majority of homes across the country, the bottom line is that every euro still counts. So any savings that can be made, especially when it comes to essential groceries, are to be welcomed.