Speaking about the raw milk reference price announced by the National Milk Council (USK), Ali Eroğlu, President of the Central Council of the Turkish Veterinary Medical Association (TVHB), said, “According to the unconfirmed information we have received, an increase of 40-45 kurush (kuruş) is considered in the milk reference price. The price of milk feed is around 2.4 TL / kilogram. In order to meet the parity, the producer must reach the feed at a price of 1.9 TL / kilogram.”
Ali Eroğlu, President of Central Council of the Turkish Veterinary Medical Association, made the following statements in his press release regarding the reference price of raw milk:
“Raw milk price is not sustainable”
“The price of milk produced in our country is announced to the public by the National Milk Council (USK), taking the opinion of the Food and Agricultural Product Markets Monitoring and Evaluation Committee. The 2.3 TL / Kilogram price determined by the National Milk Council for the period between 15.11.2019 and 31.12.2020 is well below the costs for dairy enterprises under today’s conditions. It is understood that the reference price determined a year ago is not a sustainable price in terms of Milk / Feed parity and producer costs, which are the main criteria in determining international raw milk prices.”
“Increase should be made according to milk / feed parity”
Ali Eroğlu explained, “According to some speculations, an increase of 40-45 kurush is considered in the milk reference price. Yet this surge is not equivalent to the milk / feed parity that should be 1.5, that is, the reference milk price of 1 kg, equal to the price of 1.5 kilograms of concentrate feed. The price of milk feed is around 2.4 TL / kilogram. In order to meet the parity, the producer must reach the feed at a price of 1.9 TL / kilogram.”
“In addition, raw milk reference prices should not be declared for the long term. In periods of maximum 3 months; It should be revised within the framework of the increase in input costs and taking the milk / feed parity as approximately 1.5,” Eroğlu added.
“Furthermore, it would be more realistic for this application to be automatically activated regardless of the decision of any board or committee,” Eroğlu concluded…