Ornua PPI increases for December

The Ornua Purchase Price Index (PPI) for the month of December has been revealed, showing an increase on last month’s figure.

The Index for month is 107.7, converting to 32.3c/L including VAT, based on Ornua’s product purchase mix and assumed costs of 6.5c/L.

This figure is adjusted up 1.1 from 106.6 in the previous month, which converted to 31.9c/L.

The adjustment in the month reflects higher powder and cheese prices and stable returns for butter, according to Ornua.

GDT bounces back from 3-tender slide

In other dairy market news, the Global Dairy Trade (GDT) index has bounced back slightly following three decreases on the trot at the tail end of last year, to record an increase in the first auction of 2020, which took place earlier this week, on Tuesday, January 7.

The tender – event 251 – concluded with the GDT Price Index up 2.8%, according to the trading platform.

Lasting two hours and 11 minutes, this week’s event saw 188 participating bidders go head to head across 14 bidding rounds, with 123 emerging as winning bidders.

A total of 33,050MT of product was sold on the day.

The big winners were the Rennet Casein (RenCas) index and the butter milk powder (BMP) index, recording jumps of 8.6% and 7.4% in index respectively.

Skim milk powder, butter and cheddar also performed strongly, with index boosts of 5.4%, 3.7% and 3.7% respectively.

Finally, anhydrous milk fat (AMF), lactose (LAC) and whole milk powder (WMP) also recorded increases of 2.3%, 2.1% and 1.7% respectively.