It is a pleasure to speak in this debate. I thank the hon. Member for Ribble Valley (Mr Evans) for giving us all the opportunity to participate.
I am here because the dairy industry is an important issue in my constituency. I have spoken about it before, but there are new issues to raise. In Northern Ireland, we have 3,425 dairy farms, boasting almost 280,000 dairy cows, with a market value of £627.5 million—the value of the dairy industry to the Northern Ireland agriculture sector is therefore enormous. The industry also employs 2,318 people.
As we have heard, the price of milk has continued to drop. In the past month, however, it appears that the market has bottomed. The milk price indicator hit a low of 19.24p per litre in mid-December, but it has now risen to 20.09p per litre. There is an indication that it may be 20p to 22p per litre before the early summer. Let me put that into perspective. If someone gets 21p per litre for their milk, and the cost of production is 28p, they lose 7p per litre. A base price of 20p per litre means that a 100-head dairy herd would lose £5,000 a month. Over a year, that would amount to £60,000. For those in the dairy industry, that is a serious issue. One of my constituents started dairy farming just before Christmas, and he is getting an extra 2p per litre, but even that is not enough.