17 February 2000
Commodity slump hits Golden Vale

GOLDEN VALE, the Irish foods company, reported underlying profits up 16% from Euro26.6 million (16.27) to Euro30.9m.

But this largely offset the impact of falling commodity prices on its loss-making dairy operation.

The commodity price fall was in line with European Union policy to reduce farm price support.

It resulted in the dairy business incurring a Euro700,000 loss at the operating level, against a Euro2m profit last time.

Golden Vale is a co-operative 30% owned by individual farmers. The ready-made and convenience foods division increased operating profits 32% to Euro34m.