Even though Glanbia has announced that they will pay a total increase of two cents a litre for milk supplied for the month of July until the end of the current year, dairy farmers are still not happy.
According to Billy Moroney, a milk supplier who farms near New Ross in Co Wexford, "farmers are still demanding that the 1.5 cents a litre cut in the milk price for the month of June be returned.
"They also want a plan drawn up which would indicate that Glanbia would pay a leading price for milk.
"There has been no mention of this whatsoever in the recent statement of Liam Herlihy," he commented.
Mr Moroney added that he found this hard to believe "because at the recent very well attended meetings of milk suppliers in both Dungarvan and Kilkenny, Glanbia management and the board members were left in no doubt whatsoever what our demands were.
"I believe that Mr Herlihy is ignoring reality, and I can honestly say that a very large number of other Glanbia milk suppliers would agree with me," he exclaimed.
He also claims that the decision by the Glanbia Board to set the price of milk for both June and July together "was a sleight of hand because if they had set the June milk price in early July in the normal way then they would not have been able to justify in any way the cut of 1.5 cents per litre.
"They seem to be able to do what they like with the result that now we, the suppliers of the raw material, milk, are left in a very unhappy and unwelcome situation."
Billy Moroney is also very concerned that the assets of the Co-Op are being used to subsidise the PLC.
"The fact of the matter is that the PLC purchases the milk from the dairy farmer and it is the PLC who should pay for the milk. We believe that Glanbia is well positioned to pay a better price for the milk for a number of reasons.
"They manufacture a third of the Irish milk pool, and they have the best possible facilities to change quickly to whatever milk product that is making the best profit at any particular time.
"Many other Co-Ops are not in this favourable position and they are paying a better price," he remarked.
Commenting on the proposal that Glanbia Co-Op pay an equivalent of one cent per litre plus vat milk price increase, Mr Moroney said that this recommendation will have to be approved by an extraordinary general meeting.
"And I reckon that this well be a very troubled meeting. I believe that there are now up to 45 per cent of the Co-Op shareholders who are no longer supplying milk to Glanbia and they must be wondering what is in it for them.
"It is very unfair that the assets of the Co-Op are being used to subsidise the PLC in any way."
He still wants the cut in the milk price for the month of June returned, "and that demand is still there, and will remain," he exclaimed.
"June is a very important month for the dairy farmer in Ireland. In creamery accounting, it is a 35 day month (most are 28 ) and that is the month that the farmer gets his biggest cheque of the year."
He added that the milk price has become more important to the dairy farmer in recent times because many have embarked on costly building and farm improvements with the expectation that they we will be receiving a decent return for all their efforts.
As well as this, costs of inputs like diesel and fertilizers have gone through the roof in the recent past. "We need as good a price as possible to stay in milk production. It is as simple as that," he concluded.
