Dairygold launch three-year fixed milk price

Scheme

THE Board of Dairygold has approved a new Fixed Price Milk Scheme (FMP4), which will run over a three-year period from March 1, 2019 to November 30, 2021.

A spokesperson for the company said the scheme has been specifically designed to offer milk suppliers with a voluntary option to both help manage milk price volatility and deliver price certainty on a fixed volume of their milk deliveries.

“The initiative follows on from the success of the Society’s three previous FMP schemes in 2016, 2017 and 2018,” said the spokesperson.

The dairy processor will be writing to all of its suppliers over the coming days offering them a fixed base price of 31.5c per litre including VAT and full balanced Scorecard and Sustainability bonuses (.65c per litre) set at reference milk constituents of 3.30% protein and 3.60% butterfat.

This is equivalent of 35.05 cent per litre at the Society’s 2018 average Protein and Butterfat results.

“Suppliers can choose to fix 5% or 10% of their overall milk volumes based on their 2018 milk supply to Dairygold. The fixed volume selected will apply for each calendar year 2019, 2020, and 2021,” said the spokesperson.

Suppliers who wish to avail of the new scheme are asked to return a signed application form, expressing their preference for 5% or 10% of their 2018 supply, to Dairygold before Wednesday, February 20.