Just as farmers ramp up production to take advantage of the end of EU quotas, they'll get half a billion euros less for their milk than in 2014.
And they're also facing a €100m fine for producing too much milk last year, the Dáil agriculture committee heard.e
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Average prices this year would be around 27c per litre, which was significantly below the cost of production for many.
Newstalk Lunchtime's Jonathan Healy went to visit a farm in Minane Bridge County Cork to see how this is affecting farmers.
Listen here: