Farming association in bullish mood on milk and beef prices in Limerick

THERE IS “no conceivable scenario” for cuts to June milk price following a positive month on dairy markets, says ICMSA’s Dairy Committee chairperson.

Noel Murphy said farmers “would not entertain the idea of cuts to the price they receive for the second highest supply month on most farms”.

READ MORE: Limerick farmers are in clover after big win at grassland awards

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, said Mr Murphy, who also cited the fact that prices in the southern hemisphere are also showing positive signals, per the latest price forecast from Fonterra.

“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 ICMSA’s Dairy Committee chair.

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 we are in a negative space.”

He said that milk suppliers were “walking a fine line”.

“While production is strong, margins remain tight due to the 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,” concluded Mr Murphy.

Separately, his ICMSA colleague - Michael O'Connell,  chairperson of the Livestock Committee, said that the numbers of cattle across Europe are at an all-time low. He said that our live exports have never been as strong due to our Bluetongue-free status.

“We are sure that the volumes of 2023 and 2024 born cattle leaving the country has added to the pressures on processors. Demand for Irish cattle is off the charts and is going to continue with predictions of the EU herd falling by a further 5 to 7% this year.

“I can talk all day long about the difference in prices between Ireland and the UK but beating that drum is not what people are really concerned about. 

"What ICMSA and Irish farmers are concerned about is that Irish farmers receive a fair, competitive price for the cattle they work hard to produce to environmental and legislative regulations unheard of in any other country.   We are producing the best live cattle and beef in the world and that reality is recognised across Europe and the world – it’s high time that our own ‘big players’ in the processing business recognised it too,” said Mr O’Connell.

He said ICMSA’s advice is “keep possession and only sell when they are receiving the true value of the cattle”.

Mr O’Connell stated that “farmers are holding all the cards”.