Ornua’s Purchase Price Index (PPI) has risen for the month of October, the Irish dairy exporter has confirmed.

In a brief statement to AgriLand this morning (Wednesday, November 4), a spokesperson for Ornua said:

“The Purchase Price Index for the month of October is 104.1 and is up from 102.8 in the previous month.”

This converts to 30.2c/L including VAT based on Ornua’s product purchase mix and assumed member processing costs of 7c/L.

This price equivalent is an increase of 0.5c/L on the 29.7c/L equivalent figure for September.

Continuing, the Ornua representative said:

“The marginal increase is as a result of product mix and slightly stronger cheese returns. Returns across the other products are generally stable.

In addition, the Ornua Value Payment payable to members in the month is €5.8 million, which equated to 6.7% of gross purchases in the month [year to date 4.7%].

Meanwhile, the Global Dairy Trade (GDT) index has dropped for the first time in four auctions in its latest tender.

GDT index drops

The most recent auction – event 271 – concluded yesterday afternoon (Tuesday, November 3) with the GDT Price Index down 2.0%.

Lasting one hour and 54 minutes, the day’s tender saw 161 participating bidders go head to head across 14 rounds, with 122 winning bidders recorded.

A total of 35,418MT of product was sold on the day.