Tirlán (glanbia)

[kverneland es 80]

They West Cork co-ops and Carbery are a study in efficiency and also have a particularly favourable product mix at this point, with cheese being a big factor at the minute.

A good bit OTT but co-ops do not have to have a supply contract as they are member owned and set up for the benefit of members, supposedly.

PLC suppliers are (supposed) to be better protected as the benefits of supplying their milk accrue to the owners of the processors rather than the suppliers.

And it's also a fact that the wheel turns and it won't be long before a new contract will have to be negotiated and, with the balance of trust between supplier and processor being eroded every day now, it should be a wake up call to farmers to organise themselves for their own benefit and not for the benefit of those who couldn't care less if they go broke.

have to disagree there,our milk price is helped in a big way by our us business going very well .we are losing money in cheese this yr due to the uk market being flooded with the stuff and the impact of the uk farm protests and the red tractor scheme , however a decision was made to keep milk price as high as possible to keep our farmers in business,[no farmers no west cork coops ],we are also getting a lot of grief from other irish dairy business [sticking their noses in] about our milk pricing probably due to farm organisations claiming that our returns are all from milk which is not the case

 

[humungus]

I have no knowledge of the tactics used to convince farmers to sign contracts, to be honest I am surprised that this occurs - surely the IFA would support farmers who felt bullied or forced to do so.

I equally have no involvement in the dairy industry and will leave to people who are more knowledgeable to comment on the complex politics of the subject.

In what way would farmers be coerced into signing such contracts? how long do such contracts run for?

if you didn,t sign the contract you wouldn,t get any top ups from the co op (up to 2 cent a litre some months), you would not be let put your milk into the fixed price scheme or any other scheme that may be introduced, they could decline to take your milk at any point in time, it was called a loyalty scheme even though most lads were suppliers for up to 50 yrs, and something that a lot of lads don,t know is that they can introduce a patronage scheme at any time which means that if you don,t buy a certain amount of inputs from them they may not pay out top ups to you. as regards the ifa i contacted the local dairy chairman and he agreed it was a bad scheme and said he would get back to me and i then rang the full time leinster ifa rep and he said they weren,t advising lads one way or the other because "they,d be damned if they do and damned if they don,t". the contract is in 2 parts the first part is for 3 yrs and after that if you want to leave you must give them 2 yrs notice so 5 yrs in all

 

[humungus]

Precisely, we have to take some of the blame ourselves for signing, we didn't have to.

see above and then say we didn,t have to

 

[KJL]

if you didn,t sign the contract you wouldn,t get any top ups from the co op (up to 2 cent a litre some months), you would not be let put your milk into the fixed price scheme or any other scheme that may be introduced, they could decline to take your milk at any point in time, it was called a loyalty scheme even though most lads were suppliers for up to 50 yrs, and something that a lot of lads don,t know is that they can introduce a patronage scheme at any time which means that if you don,t buy a certain amount of inputs from them they may not pay out top ups to you. as regards the ifa i contacted the local dairy chairman and he agreed it was a bad scheme and said he would get back to me and i then rang the full time leinster ifa rep and he said they weren,t advising lads one way or the other because "they,d be damned if they do and damned if they don,t". the contract is in 2 parts the first part is for 3 yrs and after that if you want to leave you must give them 2 yrs notice so 5 yrs in all

Your comment on the IFA pretty much sums them up on most issues. Sit on the fence, do nothing, let's stay nice and cushy.

How impartial can the Glanbia farmer board members be when they are getting 30k/yr plus expenses?

 

[nashmach]

Your comment on the IFA pretty much sums them up on most issues. Sit on the fence, do nothing, let's stay nice and cushy.

How impartial can the Glanbia farmer board members be when they are getting 30k/yr plus expenses?

Given that as I understand it, the board members are depending on the members in their regions, they should be representing their views? I.e. the view of the majority.

A lot easier in theory than practice though.

 

[grassgreen]

I have no problem with board member getting expences and being well paid.
there job is to represent farmer/shareholder who elect them.
Nobody can say that they represented farmers if they did not object to the contracts , and in my opniion have no place on a board

 

[Green Grass]

Is it not time for farmers to set up a union to represent them. while the ifa does there best they are inclined to sit on the fence on some matters

 

[kverneland es 80]

Given that as I understand it, the board members are depending on the members in their regions, they should be representing their views? I.e. the view of the majority.

A lot easier in theory than practice though.

As far as i know they are on 50k plus exp and to be honest they need it probably on the road 3 4 days a week . .

 

[Ozzy Scott]

if you didn,t sign the contract you wouldn,t get any top ups from the co op (up to 2 cent a litre some months), you would not be let put your milk into the fixed price scheme or any other scheme that may be introduced, they could decline to take your milk at any point in time, it was called a loyalty scheme even though most lads were suppliers for up to 50 yrs, and something that a lot of lads don,t know is that they can introduce a patronage scheme at any time which means that if you don,t buy a certain amount of inputs from them they may not pay out top ups to you. as regards the ifa i contacted the local dairy chairman and he agreed it was a bad scheme and said he would get back to me and i then rang the full time leinster ifa rep and he said they weren,t advising lads one way or the other because "they,d be damned if they do and damned if they don,t". the contract is in 2 parts the first part is for 3 yrs and after that if you want to leave you must give them 2 yrs notice so 5 yrs in all

seems pretty straight forward to me, sign the the contract and you were rewarded between a cent and 2 cent a month for guaranteeing supply for 5 years. supply contracts in an industry would be similar. were many arms broken when the twisting was taking place to get the signatures

 

[bruceythom]

see above and then say we didn,t have to

I never heard of anyone being forced to sign the supply agreement.
Sure of course you couldn't expect to sign up to a fixed price scheme without guaranteeing to supply the milk to that processor and not running off to another whenever it suited, that's just common sense.

see above and then say we didn,t have to

 

[whelan1]

Is it not time for farmers to set up a union to represent them. while the ifa does there best they are inclined to sit on the fence on some matters

Glanbia collect the ifa levies via the milk cheque , I assume their hands are fairly tied on what they can do

 

[humungus]

seems pretty straight forward to me, sign the the contract and you were rewarded between a cent and 2 cent a month for guaranteeing supply for 5 years. supply contracts in an industry would be similar. were many arms broken when the twisting was taking place to get the signatures

larry goodman will give you a similar contract ozzy,supply him exclusively for 5 yrs at whatever price he decides to give you and he,ll give you a top up from your own bank account

 

[humungus]

I never heard of anyone being forced to sign the supply agreement.
Sure of course you couldn't expect to sign up to a fixed price scheme without guaranteeing to supply the milk to that processor and not running off to another whenever it suited, that's just common sense.

i didn,t mention being forced to sign (bullied i,d say), fixed price scheme runs for 3 yrs at a time, but anyway brucey its not you we,re pissed off with and i,m not going to get into argument over gii, we,ll agree to differ:001_huh:

 

[bruceythom]

i didn,t mention being forced to sign (bullied i,d say), fixed price scheme runs for 3 yrs at a time, but anyway brucey its not you we,re pissed off with and i,m not going to get into argument over gii, we,ll agree to differ:001_huh:

Ah I know it's poor form paying the lowest Base price. Look, I'm not saying it isn't their fault, but glanbia didn't suppress the markets, the fact that they're a cent below what they should be is a long way back from the 38 cent it was 18 months ago. There's a lot of ill feeling amongst suppliers, but remember that most CO Ops are supporting their milk price with non dairy investments, Glanbia have done this too but because of its structure it can't put it directly on to the Base price. At least the volume of milk being sold at the lower price will be small and the bulk of milk sent in to glanbia was paid at an above average price. Remember too that the seasonality bonuses that Glanbia offer can really add to the Base price.

Look, it's a difficult year, but I've seen worse and it turned around then too. At least we don't have quotas to add to the worries now.

 

[Ozzy Scott]

larry goodman will give you a similar contract ozzy,supply him exclusively for 5 yrs at whatever price he decides to give you and he,ll give you a top up from your own bank account

he very more than likely will, and its this a produce if you want to or not. I presume with the Glanbia contract you don't actually have to supply a drop of milk if you choose not to?

Someone has to pay the best price and the poorest price. Usaully there is good reason for the price disparities to begin with. Are Glanbia looking after there milk suppliers with good deals on the inputs and credit?

 

[massey 6480]

I hear there shutting down the belview plant this week so they can rip up the milk intake pipe work which is all under ground to install a proper system.


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[Mf240]

he very more than likely will, Are Glanbia looking after there milk suppliers with good deals on the inputs and credit?

There a rob for inputs. I dont buy anything off them.

 

[Mf240]

Ah I know it's poor form paying the lowest Base price. Look, I'm not saying it isn't their fault, but glanbia didn't suppress the markets, the fact that they're a cent below what they should be is a long way back from the 38 cent it was 18 months ago. There's a lot of ill feeling amongst suppliers, but remember that most CO Ops are supporting their milk price with non dairy investments, Glanbia have done this too but because of its structure it can't put it directly on to the Base price. At least the volume of milk being sold at the lower price will be small and the bulk of milk sent in to glanbia was paid at an above average price. Remember too that the seasonality bonuses that Glanbia offer can really add to the Base price.

Look, it's a difficult year, but I've seen worse and it turned around then too. At least we don't have quotas to add to the worries now.

Ill agree on the bonus for oct /nov and feb. Its a nice bit.

The last cut was unjustified though. They were the only ones to cut sept price.

 

[nashmach]

I hear there shutting down the belview plant this week so they can rip up the milk intake pipe work which is all under ground to install a proper system.


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If that's true, I'm not one bit surprised.

Instead of the cloak and daggers, they'd be far better coming out now and saying that instead of turning it into another PR disaster

 

[bruceythom]

he very more than likely will, and its this a produce if you want to or not. I presume with the Glanbia contract you don't actually have to supply a drop of milk if you choose not to?

Someone has to pay the best price and the poorest price. Usaully there is good reason for the price disparities to begin with. Are Glanbia looking after there milk suppliers with good deals on the inputs and credit?

No, you don't have to supply the milk if you don't want to, nor are you bound to a volume, you're just bound to supply glanbia only. Unless you didn't sign the supply agreement, in which case they will still take the milk off of you, you just won't be getting the bonuses.

Glanbia haven't been paying the lowest all year, it just looks bad that are the only ones to drop the September price and currently they're paying out the lowest Base price.

I hear there shutting down the belview plant this week so they can rip up the milk intake pipe work which is all under ground to install a proper system.


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I think shutting down the Bellview plant in the autumn for economic reasons was part of the plan regardless of works.

Ill agree on the bonus for oct /nov and feb. Its a nice bit.

The last cut was unjustified though. They were the only ones to cut sept price.

Usually in the region of 3 cent for late lactation bonus, and 5 or 6 cent for early calving bonus, it's very doable and worthwhile to get both of these.

Yea, the last cut was really salt in the wound, particularly when they were the only ones dropping it

If that's true, I'm not one bit surprised.

Instead of the cloak and daggers, they'd be far better coming out now and saying that instead of turning it into another PR disaster

It's no secret. I'm not exactly sure of the mechanics of it, but there was some pipe work giving trouble all year and it was on the cards from early on that it was going to have to be altered when it shut down in the autumn. If I'm correct, it was something relatively small causing the plant to stop for a few seconds that backed up a drier that then had to be cleaned out manually. After this happened a few times they learned to nurse it through the season. This was where we learned of lorries being held up, and on one occasion, a number of lorries had to be turned up the road to Ballyraggett. I'm not sure what they did with the Dairygold lorries that were bringing in their milk to be processed though??

 

[whelan1]

If that's true, I'm not one bit surprised.

Instead of the cloak and daggers, they'd be far better coming out now and saying that instead of turning it into another PR disaster

yes it seems they want to cover up any problems ,alot of people would think alot more of them if they just said x,y and z are wrong. When asked about belview or clongowesgate in Navan last week we were told they are not up for discussion. They did say belview was closing and the hoped to sort out any issues during that time. Dont know why all the secrecy , if they did come out and say what the problems are it would cure alot of rumours

 

[grassgreen]

........ When asked about belview or clongowesgate in Navan last week we were told they are not up for discussion.

Any major project like belview is bound to have teething problems the main issue is that they get sorted
That said when people attend meeting such as in Navan it is not acceptable that issues such as clongowesgate and belview are not up for discussion. These are issues that relate directly to the coop .... and farmers are coop shareholders

 

[bruceythom]

Any major project like belview is bound to have teething problems the main issue is that they get sorted
That said when people attend meeting such as in Navan it is not acceptable that issues such as clongowesgate and belview are not up for discussion. These are issues that relate directly to the coop .... and farmers are coop shareholders

Well to be fair I never got the impression that the teething problems were a secret, the information I gave in a previous post there was information that was given to us by a board member at a meeting, and no one had to ask for it, nor was anyone interested in any more details. This I heard back in May IIRC. There was something about an electric supply problem too, but that was currently being addressed.

Clongowesgate, now there's something that infuriates me. Get caught fiddling superlevy milk and then just apologise and pay the superlevy fine, not good enough IMO, P45s should be issued to anyone involved in the debacle. I would hope that "not open for discussion" means that there's in suing legalities but if that was the case then say so, of course then it can't be discussed.....Id doubt that being the case though.

 

[BANKVILLE]

http://dairy.ahdb.org.uk/news/news-articles/october-2015/glanbia-to-temporary-close-powder-plant/#.VjCaGJGnyTk

At my coops own agm last week they said at its bottom powder was returning a milk price of 12ppl. Price.may be better at bellview but powder is definitely returning lowesr milk price atm so makes sense to close it temporarily. Whats happening tbe staff? ?

Sept base was 17.25 ppl down 48% in 18pnths from 33.2ppl march 14

And the worst news of all commodity buyers are expecting a spring flush of milk so no sign of price recovery until after

 

[whelan1]

http://dairy.ahdb.org.uk/news/news-articles/october-2015/glanbia-to-temporary-close-powder-plant/#.VjCaGJGnyTk

At my coops own agm last week they said at its bottom powder was returning a milk price of 12ppl. Price.may be better at bellview but powder is definitely returning lowesr milk price atm so makes sense to close it temporarily. Whats happening tbe staff? ?

Sept base was 17.25 ppl down 48% in 18pnths from 33.2ppl march 14

And the worst news of all commodity buyers are expecting a spring flush of milk so no sign of price recovery until after

we were also told in navan to ignore the gdt auction results as not enough stock is being offloaded there to make the price reliable. Next 6 months will be tough