Lakeland Dairies is the second milk processor to reveal its price for October supplies, announcing that it has held its base milk price.
Lakeland suppliers will be paid 32.78c/L including VAT for their October milk supplies.
A statement issued by Lakeland Dairies outlined that global dairy market conditions have become “decidedly weaker” in recent months.
The statement explained that milk supplies have generally been strong and were up by 20% in October compared to the same time a year ago.
Ornua’s PPI drops for October
Ornua’s Purchase Price Index (PPI) has dropped in the most recent index, according to a statement from the Irish agri-food cooperative.
The dairy exporter’s price index for October is 106.5 – adjusted from 110.4 for September.
This translates to 31.9c/L, VAT inclusive, based on Ornua’s product purchase mix and assumed costs of 6.5p/L.
The October 2018 Index reflects weaker returns, specifically for fat, according to an Ornua spokesperson. This is the lowest level the PPI has been at since its May price index.
The September PPI came in as the third highest recorded in 2018, behind only January and August in first and second place respectively.