ICMSA say “notably” stronger dairy markets must see a rise for farmers in forthcoming milk price announcements

The Chairperson of ICMSA’s Dairy Committee, Noel Murphy, has said that the latest market indicators will almost certainly increase farmer milk price in the forthcoming round of milk price announcements.

With the announcements of October milk price imminent, Mr. Murphy said that a combination of stronger Global Dairy Trade (GDT) results, an increase in the Ornua PPI, ‘firming’ European commodity markets and the continued increased demand for proteins all point towards an improved milk price outlook.

“The notably positive movement that we have seen across international dairy markets in recent weeks must now be reflected in the milk price paid to Irish dairy farmers.   The market evidence is clear, and we expect the Co-ops to respond proportionately with an increased October milk price.  The latest Ornua PPI shows a gain of 2.7cpl on the month to 40.9cpl and this must be the minimum base price that farmers should expect from their Co-ops this month. The latest GDT auction recorded a 3.0% increase in the overall GDT Price Index, with Whole Milk Powder increasing by 5.9% and Skim Milk Powder rising by 3.1%, underlining strengthening global demand for dairy products”, said Mr Murphy. The ICMSA Dairy Chairperson r. Murphy said that those results were particularly significant because they build on a series of firmer auction outcomes and indicate growing confidence across key importing regions. The importance of the latest GDT auction is not just the increase itself but the fact that we are seeing sustained upward momentum in the products that underpin Irish milk values. That trend cannot be ignored.

The ICMSA Dairy Chairperson also noted the continuing strength in European commodity markets, with Dutch and wider European quotations remaining at levels that will translate to stronger milk returns, despite the high volumes of milk production across the main exporting countries.  Mr Murphy said that industry observers would be especially struck by the fact that Skim Milk Powder values have strengthened considerably in recent months, a development that always provides a solid platform for returns. 

“Irish milk suppliers have faced a very prolonged period of significant cost pressures recently, from feed and fertiliser to compliance and environmental costs. When market indicators are positive – as they are now – then farmers must receive their fair share of that value and without delay.  ICMSA will expect a positive response from all processors in the coming weeks; the rise in market sentiment and prices must translate to a rise in farmer milk price in the forthcoming announcements of October milk prices”, he concluded.

Ends       5 November 2026

Noel Murphy
Chairperson, ICMSA Dairy Committee

Or

Cathal MacCarthy,
ICMSA Press Office