The Irish Creamery Milk Suppliers' Association (ICMSA) has called for the newly announced strategic partnership between Aurivo and Dale Farm to deliver tangible benefits for farmer suppliers. The response follows confirmation that the two dairy co-operatives, based in the Republic of Ireland and Northern Ireland respectively, will pursue a strategic partnership rather than proceeding with a full merger.

Agriland reported that the announcement on 20th March followed detailed discussions over recent months between both co-operatives.

The boards of both co-operatives have agreed to work together on projects including by-product utilisation and added value protein. A steering group with representation from both co-operatives is being established to guide the strategic partnership, with work on initial projects beginning immediately.

Denis Drennan, president of the ICMSA, said: "It is quite clear that cost-savings and efficiencies can be made on the milk processing side and those will need to materialise. Since September, dairy farmers have seen milk price collapse and milk suppliers, and not only milk suppliers, will see their incomes slashed in 2026 due to the market downturn."

Drennan claimed that those in the processing sector are insulated from market downturns, stating: "It is simply not sustainable for dairy farmers to continue to subsidise inefficiencies and every other link in the dairy supply chain."

He added: "This has to deliver for the farmer-suppliers and that's going to have to be reflected in the milk price paid by Aurivo Co-op. That's the only basis on which we'll be judging the proposed strategic partnership, as we'll be watching this very closely."

The ICMSA's intervention demonstrates how agricultural associations monitor co-operative strategic decisions to ensure member interests are protected, particularly during market downturns when processing efficiencies directly impact farmgate prices and supplier incomes.

Read more on ICMSA's response to the Aurivo-Dale Farm strategic partnership.