The price paid to farmers for their milk is a commercial matter between milk producers and the dairies or processors who purchase their milk. The prices paid by these processors are a function of a range of factors including the efficiency of these organisations, their product portfolio and the market in which their products are sold.
My role is to ensure that an EU policy framework is in place, and EU market management measures are implemented in a manner which allows the dairy sector to continue to develop and support farmers' incomes. In this context, producer prices in Ireland this year are similar to last year, notwithstanding the reduction in the intervention prices agreed as part of the CAP mid-term review. Producers have recently been paid a dairy premium amounting to approximately 1.2 cents per litre as partial compensation for the reduction in the intervention price levels.