Some of the biggest supermarkets in the country have reduced the price of milk.
After Lidl announced a 10 cent reduction in the price of in-store milk, Aldi, Tesco, and SuperValu all made a similar announcement a few hours later.
The move was made in the midst of a cost-of-living crisis following the outbreak of war in Ukraine, but Labour has criticised it as an example of “price gouging” by certain shops that are now engaged in a “race for publicity.”
The Irish Farmers Association (IFA), which said it would put financial strain on producers, was also angered by the reductions.
It is good news for consumers who have seen milk prices rise steeply by 24% over the last 12 months, according to the Central Statistics Office.
IFA liquid milk chairman Keith O’Boyle said a “price war on milk” could do serious damage to farmers who specialise in producing fresh milk rather than milk which is converted into products with a longer shelf life, such as butter.
“If these farmers do not get a return to cover the extra costs involved, they will change to producing milk for manufacturing,” he said, further claiming that the price cut could risk the sustainability of Ireland’s fresh milk production.
Labour finance and enterprise spokesperson Ged Nash described the move by some Irish supermarkets as a “tacit acceptance that Irish consumers are being ripped off”.
“We see today a race for good publicity between Irish supermarkets as they announce price reductions for milk,” Mr Nash said.
“This is good news for shoppers, and it essentially confirms what I’ve been saying for weeks – price gouging is endemic throughout the grocery sector in Ireland. “These big and brave supermarkets must also commit to meaningful price reductions across the range of other products that they are using to cream it in,” he added.