As the dairy sector prepares for the third round of 2025 milk price announcements, Irish Creamery Milk Suppliers Association (ICMSA) dairy chair Noel Murphy has called for a reversal of cuts made to the February milk price.

Murphy said that the co-ops that didn't reduce milk price for February were correct in their decision not to act prematurely and read the market more accurately.

The market, he said, was and is in a positive place and the justification to cut appears to have been based on reductions to spot prices.

"Not alone have those February spot reductions been reversed, prices have improved for butter, skimmed milk powder and whole milk powder during March.

"The market for milk is returning anywhere from 49.5cpl to 51.5cpl so there is no need for a base price below this point," he said.

Critical

March, Murphy argued, is a critical month for milk price as what he called “the camouflage” of seasonal bonuses disappear in most co-ops.

He said this is why the ICMSA always stressed base price as the ultimate indicator and farmers will be able to see with absolute clarity where their own processor stands in the real league.

“The Trump drama is a medium- to long-term concern, but has no impact on current pricing and must not be used as an excuse to reduce milk price for March.

"There’s a long way to go before we see the true implications of the US imposition of swinging tariffs, and it’s not wise or prudent to anticipate or even guess what’s going to happen in the coming months," he said.

The global milk market is a good position and with weather doing its best to drive on production across the country, those setting the price should be looking to sunnier days too, Murphy said.