Dairygold has announced its milk price for supplies in May, opting to reduce its offering to suppliers for the month.

The Dairygold board has confirmed a cut to its May quoted milk price of 1c/L to 49c/L, based on standard constituents of 3.3% protein and 3.6% butterfat, inclusive of sustainability and quality payments, and VAT.

Dairygold said that the May milk price equates to an average May farmgate milk price of 53.4c/L, based on the average May milk solids achieved by Dairygold milk suppliers.

This is a reduction of 1.2c/L on the average monthly price of 54.6c/L for April.

A spokesperson for Dairygold said: "While dairy commodity prices remain relatively robust, the global supply and demand balance for certain products has weakened. Supply is projected to increase and demand in some sectors is challenged, negatively impacting returns.

"Additionally, geopolitical concerns and Trump tariffs pose significant challenges for buyers navigating an uncertain environment. The Dairygold board continues to monitor markets closely and will review milk price on a monthly basis," the spokesperson added.

Lakeland Dairies was the first of the major processors to announce its milk price for May, announcing last Friday (June 13) that it had decided to pay 49.25c/L for milk in the Republic of Ireland at the standard constituents.

In Northern Ireland, 40.3p/L will be paid on standard constituents.

On both sides of the border, an unconditional bonus of 0.5c/L or 0. 5p/L will be paid on all supplied litres, while both prices also include the usual Sustainability Incentive Payment.

Announcing its price last week, Lakeland said: "The global dairy markets are, again, relatively stable month-on-month. This is despite ongoing trade and geopolitical tensions.

"“The relative stability in the market is due to the supply/demand dynamic remaining in balance.

“Lakeland Dairies will continue to monitor the markets and will endeavour to support our farmers as best we can,” the processor said.