Town of Monaghan has followed Kerry's lead to set a milk price of 27c/l including VAT for March supplies. Further March price increases are expected from other co-ops later this week as international dairy markets continue to improve. As we went to press the Glanbia board was meeting, with some members speculating a lift from the 26c/l paid for February supplies was likely. The boards of Dairygold, Lakeland and Connacht Gold are due to meet in the coming days. However, the Irish Dairy Board (IDB) has decided against raising March returns for butter and skim milk powder (SMP). While demand for butter has improved over the past three months, the IDB has held its price at €2,600/t, while SMP has stayed at €2,000/t. IFA dairy chairman Kevin Kiersey has urged co-ops to commit to further lifts in milk price to at least 28c/l including VAT, before peak production begins in May. Continued

ICSA president Gabriel Gilmartin has said that the introduction of a carbon tax on agri diesel from May 1st will further cripple the agriculture sector and will increase the cost of food production in Ireland. "An increase in the price of agri diesel by an estimated 4.7c/l is an additional cost burden on farmers at a time when prices being returned from the market are already not covering the cost of production." "Farmers are already well placed to do their bit for climate change mitigation and are the only sector with a strategy around this without burdening them further with this draconian tax. Continued

IFA President, John Bryan met with the recently appointed Governor of the Central Bank, Patrick Honohan to highlight the ongoing credit issues on farms and to outline the potential for the agriculture sector in Ireland’s economic recovery. Mr Bryan outlined the concerns of the farming sector and agri-food industry over the availability and costs of credit and emphasised that the banks must take a medium-term outlook in dealing with farming customers. Mr Bryan said “At today’s meeting, it was highlighted that Ireland’s recovery will be export driven, and the agri-food sector exports 85% of its produce. I very much appreciate the Governor’s understanding of the importance of agriculture in the economy and the role it can play in contributing to a sustainable economic recovery for Ireland. He concluded, “However, in order for agriculture to fulfil its potential, the banks must work closely with farmers to overcome short-term cash-flow difficulties, including loan restructuring, and support them in maintaining viable farm businesses. ”

If the name of Glanbia fails to register, its products certainly will. The mid-cap Irish food producer supplies the cream for Baileys Irish Cream, the mozzarella that tops Domino’s pizzas, and ingredients for the cheese found in McDonald’s and Burger King buns.

However, such tie-ups have done little to protect Glanbia from either severe falls in commodity prices or a sharp downturn in the Irish economy. First, the company has had little choice but to accept lower prices for the butter, cheese, whey and other milk-derived products that it sells through world wholesale markets. Second, it has suffered from domestic recession — partly from lower consumer spending on branded foods and tougher competition from sterling-based rivals, but more from the knock-on effects of lower milk prices on farm incomes. This has hampered its agribusiness division, which sells fertilisers and animal feeds. Continued

Attendants to this year's Irish Grassland Annual Dairy Conference will be able to hear keynote speaker, Alan Dukes outline his views for a successful Irish agricultural and dairy industry in the future.

The conference, to be held at Rochestown Park Hotel on Tuesday 12 January will deliver technical messages to commercial dairy farmers for the year ahead.

Four farming families will make presentations on the day, followed by a technical research/advisory paper to solve some of the questions posed by farmers.
Continued

Glanbia plc the international cheese and nutritional ingredients Group, has issued this 2009 full year pre-close trading statement. This statement has been prepared in accordance with the new segmental reporting announced at the 2009 half year results.
The Group expects to announce 2009 full year results in early March 2010 for the year ended 2 January, 2010.

The impact of the downturn in global dairy markets in the first half of the year, lower US cheese prices and a poor economic backdrop with weak consumer demand resulted in a difficult year in 2009. Strong cost management together with an excellent operational performance could not fully offset an unprecedented trading environment. The Group expects to report adjusted earnings per share of 30 to 31 cents for 2009, in line with revised adjusted earnings per share guidance for the full year which was announced on 30 April 2009. Continued

The extremely cold, but mainly dry weather, will continue through the rest of the week and over next weekend, across the whole country. There will be further severe or very severe frosts at night, and ice on untreated surfaces; some freezing fog patches possible too. Daytime temperatures will be in low single figures at best, despite some good sunshine, with frost and ice slow to clear, and at times persisting. Wednesday night will see temperatures plummet. Lowest temperatures will range minus 3 to minus 9 or even minus 10 degrees, with just light northerly breezes. Many areas dry, though some wintry showers will affect northwest and north fringes. Continued

The Irish Cattle and Sheep Farmers' Association (ICSA) has postponed its AGM and Annual Conference due to take place on Thursday 7th January in the Strand Hotel, Limerick. The recent unprecedented weather has left many roads impassable, and with further freezing conditions predicted over the coming days, the decision was taken to postpone the event. The AGM will now be rescheduled to take place on the 28th January and the Minister for Agriculture, Brendan Smith TD has been invited to attend.

Brazil has submitted a trade specific concern to the World Trade Organisation regarding what it believes is the unfair treatment of Brazilian meat exports to the EU. Brazil recently asked the EU to simplify the current system to make it more affordable and flexible for producers. These proposed changes to the Brazilian Cattle Traceability System were denied. Over the year, there have been increasing concerns regarding food safety. To restore public confidence, the American Meat Insitute has released information regarding the role of microbiological testing in ground beef. Continued

FORMER Gárda, farmer and father-of-two – there are many sides to Irish Farmers Association (IFA) President-elect John Bryan. But above all, Mr Bryan, 51, is a farmer. He started life on his family’s farm and now farms 230 acres of suckler beef at Cappagh, Inistioge in Co. Kilkenny. As a young man he gave up farming to train as a Gárda and spent three years stationed in Dublin from 1977. But he missed rural life and his time away from the land affected him, so after three years he packed up and came back to Kilkenny. With his wife Rena, Mr Bryan started farming in 1980 with just 89 acres of land and no stock. Twenty-five acres were part of the Bryans’ family farm and the other 64 was inherited from an aunt. The Bryans went on to have two children – James and Cathy – and build up their land and stock over the years. Continued