POST QUOTA PLAN ENDORSED

A clear majority of the 2,000 members attending the SGM in Mallow on April 11 voted in favour of progressing the society post quota plan. The overwhelming majority which the post quota plan received – 80% to 20% in a secret ballot of 1,930 members voting – gives the Dairygold Board and management a clear mandate to proceed, with confidence, in implementing the plan. In addition to the above, members overwhelmingly voted to retain testing of milk internally in the society’s accredited laboratory in Mallow.

The outcome of the SGM was also welcome as it gave the Board and management an opportunity to explain the plan fully to a meeting of the general membership. Members were able to see clearly that the plan is very prudent and is based on the most reasonable and cautious assumptions. In addition, the modularised expansion plan will ensure that we do not incur a single euro of unnecessary expense or add excess capacity which won’t be fully utilised.

With the end of quotas in April 2015 now less than two years away it is important that the plan is progressed. Some 85% of milk supplier members have already signed up to the new milk supply agreement (MSA) and those members who have yet to sign can do so up to the end of April and benefit from the 0.35c litre bonus on his or her entire 2012 milk supply.

The importance of signing up to the milk supply agreement cannot be emphasised enough. The post quota plan will be implemented in accordance with the forecasts made in association with the milk supply agreement. Members who choose not to sign will continue to have their milk collected (base volume set at the higher of 2012 milk volumes or quota) anything in excess must be treated as unplanned milk that the society will have to have processed elsewhere if it has insufficient capacity internally.

Dairygold does not wish to see any milk supplier member having to accept a diminished milk price and the board is therefore urging all milk supplier members to accept the democratic will of the SGM and to sign up to the milk supply agreement as soon as possible.

Any members who might require assistance with forecasting or who have other difficulties in relation to the post quota plan should contact the society without delay and they will be assisted as part of the one-to-one consultation process. If assistance is required, please phone your milk advisor who will be happy to assist.

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