Domestic milk intake by creameries and pasteurisers was estimated at 178.8m litres for January 2023, a 2.4pc decrease when compared with January 2022, according to the Central Statistics Office (CSO).
at content rose from 4.41pc in January 2022 to 4.47pc this January. Protein content also increased from 3.47pc to 3.50pc over the same period.
Skim milk powder production grew marginally from 5,200 tonnes in January 2022 to 5,900 tonnes this January.
Butter production decreased from 6,700 tonnes in January 2022 to 5,600 tonnes in January 2023.
Lakeland Dairies, Kerry Group, Dairygold all cut their January milk price by 6c/L. Meanwhile, Tirlán cut its milk price by 5.7c/L while Carbery cut its milk price by 4c/L.
A company spokesperson for Dairygold commented that: “Dairy market prices have weakened considerably in recent months, caused by an increase in global milk supplies and reduced demand driven by higher inflation.
Dairy markets started turning towards the end of 2022 and have weakened very significantly in recent months with growth in global milk supplies continuing.
Lakeland Dairies said: "High rates of inflation are affecting overall market sentiment. Demand has reduced, buyers have held back, exports have slowed and prices have eased considerably.
"This will have a continuing impact for all processors during 2023 and will continue to affect milk price, in line with weaker market conditions, over the coming months.
Meanwhile, Arla Foods AB, the Danish milk processing giant, expects the cost of dairy products to fall sharply in 2023 in the UK after becoming a hot spot of inflation.
The boss of the UK's biggest dairy producer said he is confident that all the cost pressures facing its farmers have now passed though.
Milk, cheese and egg prices provided the biggest boost to rocketing food price inflation in December, official data showed. That reflected soaring cost of feed, fertilizer and fuel that farmers have tried to pass through to shoppers.
Food price growth in the UK picked up to 16.8pc last month, the highest since at least 1989, even as overall inflation in the UK cooled. But Arla, which makes Lurpak butter and Cravendale milk, believes the pressure on dairy prices will start to ease.
