Poor year for dairy as falling prices hit earnings but nitrate limit is main industry worry

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Lakeland and Aurivo follow Dairygold in announcing major fall-off in earnings on back of weaker markets internationally

The lifting of EU milk quotas in 2015 has been a boon for the industry here, with milk output in the Republic doubling from 5bn litres to over 10.bn litres

Cavan-based Lakeland generated a loss €8 million as weaker market returns combined with a once-off restructuring charge, while Sligo-based Aurivo, producer of the popular Connacht Gold brand, saw it operating profits plummet 72 per cent. The results echoed Dairygold’s results from last week. But it’s not the inherent market volatility that is exercising practitioners here, it’s what Lakeland chief executive Colin Kelly referred to as the “new environmental reality”, shorthand in the industry for lower nitrate levels being forced on dairy to combat declining water quality.Fujifilm Instax Mini 99: The most creative and best instant film camera in the line to date

 

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