Kerry Dairy Ireland (KDI) suppliers are calling for new milk supply contracts to be issued to them.

Some suppliers have expressed concern that they have not yet received their new contracts.

In 2021, suppliers learned that their milk supply contracts will terminate on April 30, 2026.

KDI has said "it is anticipated new milk supply contracts will be issued to milk suppliers in early April".

New KDI contracts

The Munster Dairy Producer Organisation (MDPO) has voiced criticism over the fact "no contract has circulated to farmers" yet.

"Five years ago, milk suppliers were put on notice that their supply contracts would be ended at the end of April of this year which is now less than eight weeks away," the MDPO said.

It has urged KDI to "immediately provide their draft supply contract to suppliers" and that farmers "must be given sufficient time to consult and get advice on the draft new contract".

It said "any further delay is totally intolerable".

"MDPO will seek direct negotiations on all elements of the new contract [on] behalf of its members with KDI," the organisation added.

2026 share-up collection

Separately Kerry Co-op has moved to suspend an incoming share-up collection, which would have seen suppliers contribute a total of 5c/L of milk supplied.

The decision is being taken as a result of downward pressure on milk prices to suppliers, the co-op said.

The board of Kerry Co-operative Creameries has confirmed its decision to suspend the proposed 2026 share-up collection following a "review" of current market and financial conditions.

The share-up, which was due to commence in April, would have required milk suppliers of Kerry Dairy Ireland to contribute 1c/L on milk supplied until a total of 5c/L of milk supplied was reached.

However, due to low milk prices, the board decided that going ahead with the share-up would have compounded the financial pressure on suppliers, Kerry Co-op said.