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06 Dec 2025

Kilkenny farming: “No conceivable scenario” for cuts to June milk price

Producers should be looking to increase prices ICMSA

Milk

File pic.

Following a positive month on dairy markets, ICMSA Dairy Committee Chairperson, Noel Murphy, said there was no conceivable scenario for cuts to June milk prices and, moreover, farmers “would not entertain the idea of cuts to the price they receive for the second highest supply month on most farms.”


According to the USDA’s July 2025 Dairy Market Outlook, the US all-milk price forecast has also increased to $21.95 per hundredweight, up $0.35 from the previous estimate. This suggests a balanced market where supply growth is being met with steady demand.”


Mr Murphy also cited the fact that prices in the Southern Hemisphere are also showing positive signals, per the latest price forecast from Fonterra.

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“Obviously our focus is primarily on Europe and Ireland in terms of prices and trends and our export destinations and those are all showing encouraging resilience. Dutch Dairy quotes increased almost a cent per litre for WMP mix and the industry standard indicator Butter/SMP increased marginally by 0.5 cent with some fluctuations in the timeframe over the four weeks of June,” noted the Dairy Committee Chairperson.


Mr Murphy said that the data was unambiguous: “There should be no negativity around milk price at present and processors should be looking to increase prices – certainly not wasting their time peddling the notion that that we are in a negative space.”

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He said that milk suppliers were ‘walking a fine line’ - “While production is strong, margins remain tight due to a cost of production. Holding milk prices steady is essential to protect farm viability and ensure continued investment in sustainability and future-proofing our dairy sector. There are enough external factors to be worrying about - including trade tensions and fluctuating export demand – without making up imaginary pressures on milk price that are nowhere supported by the data and facts in the marketplace,” he concluded.

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