The Ornua Monthly Purchase Price Index (PPI) for the month of September 2025 is 145.7, down from the previous month at 151.4.

Ornua’s estimate of Member Co-ops processing costs was 9.3c/L in month (which is unchanged from the previous month).

Ornua said that it should be noted that these estimated processing costs are:

Based on Ornua’s estimate of the average cost of processing the Ornua basket of products, which is not representative of any individual member co-op processor;
Exclude any allowance for member co-op processor margin;
Are based on an updated methodology (from 1 March 2024) which uses Ornua’s initial estimate of member co-op processing costs from 2020 as a base and indexes the variable elements to external indices which will be updated quarterly in arrears;
Will rise and fall quarterly in line with the movements in the variable costs (most notably energy) as per the external indices.

After deducting estimated processing costs, Ornua’s PPI implies an indicative return of 42.7c/L, 5.1% VAT inclusive (down from the previous month of 44.7c/L) for milk of 3.6% fat and 3.3% protein which is net of Ornua costs to market.

Ornua

In a statement, Ornua said that the results "reflect weak market returns for the month of September".

In addition to the above, the ‘Ornua Value Payment’ payable to Member Co-ops in the month is €8.7m, which equated to 4% of gross purchases in the month.

It was noted that the PPI relates to product settlements/payments for the month and for reasons of seasonality is not directly aligned with milk production and payment.

GDT

Meanwhile, the latest results from the Global Dairy Trade (GDT) show a continued downward trajectory as the index figure decreased for the fourth consecutive time.

Following the latest auction event yesterday (Tuesday, October 7), the index dropped by a further 1.6%.

This represents an average price of €3,921 per metric tonne (mt) of product sold.

The GDT price index has been falling since the August 19 trading event.

The index figure now stands at 1,180; a level which was last recorded in October 2024.