ICMSA welcome Glanbia movement of Fixed Milk Price Schemes

ICMSA President Pat McCormack had welcomed the announcement from Glanbia to provide options to those farmers that are facing considerable challenges from having large percentages of the milk contracted under Fixed Milk Price Schemes.

There is growing and unprecedented pressure on dairy farmers who locked into these contracts in the last number of years as costs of production have skyrocketed in the last number of months. Members have been contacting our organisation for weeks in significant numbers detailing their impending losses that they will accrue in the coming year, and it is vital that a solution to their price cost squeeze is put in place.

An ICMSA delegation is meeting with Glanbia to discuss in greater detail the term and conditions of the scheme.

It is vital that farmers do not go to the wall because of Fixed price contracts. Be very clear, there is a real danger that these farmers could exit the industry as they simply cannot make ends meet.

ICMSA will also be seeking clarity from Glanbia that those customers further up the supply chain who have locked in these fixed contracts have shown flexibility with Glanbia. It is a welcome development, but it is essential that the customers are paying the additional costs and not farmers through a lower base price, concluded Mr McCormack.