Tirlán's December milk price for its Tipperary suppliers is 40.08 cpl
Tirlán has announced it will pay a total of 40.08 cent per litre (cpl) (including VAT) for December creamery milk supplies at 3.6% butterfat and 3.3% protein.
The price includes a Seasonality Payment of 4 cpl (including VAT) that will be paid on all creamery milk volumes supplied in December that meet quality criteria.
The December milk price consists of the following:
Base milk price of 35.58 cpl (including VAT), an increase of 1 cpl;
A Seasonality Payment of 4.0 cpl (including VAT) which applies to all creamery milk volumes supplied during December that meet quality criteria.
This payment also applies to non-contracted volumes from Autumn calving and Liquid Milk scheme members;
Sustainability Action Payment of 0.5 cpl (including VAT) to all qualifying suppliers. Suppliers are asked to register their sustainability actions on the Tirlán FarmLife website before 26 January to secure the 0.5cpl for 2024.
The base price, Seasonality Payment and Sustainability Action Payment will be adjusted to reflect the actual constituents of milk delivered by suppliers.
The Tirlán total price for December creamery milk, based on LTO constituents of 4.2% butterfat and 3.4% protein, is 43.55 cpl (including VAT).
Tirlán Chairperson John Murphy said: “The Board is pleased to be in a position to increase base milk price again this month to reflect recent improvements on global markets. The main driver of increased market returns continues to be the reduction in milk supply from some key regions. Demand trends will need to be closely monitored given the inflationary pressures and geopolitical tensions.
“Our December milk price includes our 4 cpl Seasonality Payment, which is a recognition of the higher costs incurred in milk production at this time of the year.”
Unconditional Seasonality Bonus Payment rates
Unconditional seasonality bonus payments apply over the winter months of December, January and February on all non-contracted milk volumes that meet quality criteria. The payment rate for December 2023 and January 2024 is 4 cpl, with 3 cpl available for February 2024.
The unconditional Seasonality Bonus Payment will increase to 5 cpl in December 2024; 7 cpl in January 2025 and 5 cpl in February 2025. Payment will be adjusted to reflect the actual constituents of the milk delivered.