Ornua PPI lifts slightly for June milk amid 'stable returns'

The Ornua Purchase Price Index (PPI) has increased slightly for the month of June, the company has confirmed.

The PPI index for last month is 101.7 – this is a marginal increase from the figure of 101.1 recorded for May.

The June index converts to 30.1c/L including VAT, based on Ornua’s product purchase mix and assumed costs of 6.5c/L, Ornua said.

The rise is attributable to stable returns across the Ornua product mix, a spokesperson for the Irish dairy exporter explained.

GDT soars with strong powder performance

This follows the latest Global Dairy Trade (GDT) event earlier this week, which finished with a strong boost to the index, for a fourth consecutive increase in recent auctions.

The most recent tender – event 263 – concluded on Tuesday, July 7, with the GDT Price Index up 8.3%.

Lasting two hours and 31 minutes, this week’s event saw 174 participating bidders go head to head across 17 bidding rounds, with 109 winning bidders emerging. A total of 25,688MT of product was sold on the day.

In a strong showing almost across the board, the big winner on the day was whole milk powder (WMP), which skyrocketed by 14%.

This was followed by more moderate, though still positive, results for butter milk powder (BMP) and skim milk powder (SMP), which recorded rises of 3.8% and 3.5% respectively.

Cheddar (Ched) and butter also performed well, with increases of 3.3% and 3% in index respectively.

Meanwhile, lactose (LAC) rose by 1.9%. Anhydrous milk fat (AMF) was the only product to record a decrease in index on the day, dropping by 0.2%