The price index at the latest Global Dairy Trade (GDT) auction has reported its second consecutive increase today, rising by 0.9%.
On September 5, the index rose by 0.3%. This followed on from decreases of 0.4% and 1.6% at the two GDT events in the month of August.
At today’s auction, the price index for skimmed milk powder (SMP) fell by 1.2%. On the other hand, whole milk powder (WMP) climbed by 0.6%. There was no butter milk powder (BMP) offered at today’s event.
The cheddar index fell by 1.9%, while an increase of 1.2% was recorded in the butter index.
There was a total of 134 winning bidders recorded across 17 bidding rounds. The event lasted for approximately two hours and 20 minutes. Image source: GDT Several milk price increases were announced by a variety of processors in recent weeks for August milk.
Aurivo suppliers will receive a base price of 35.5c/L for August supplies, following an increase of 1c/L. The processor also announced plans to pay a 1c/L bonus to its suppliers on top of the base price for last month’s supplies.
Arrabawn increased its August milk price to 36c/L including VAT – representing an increase of 1c/L. Meanwhile, a 1.5c/L milk price increase was announced by Dairygold. This increase will bring the processor’s base milk price to 36c/L, including a 0.5c/L quality bonus and VAT.
Other processors also announced milk price increases. These increases come in a month where Ornua’s Purchase Price Index (PPI) recorded an increase of 0.9 percentage points.
The PPI for the seventh month of the year equated to 110.1%; this increased to 111% for August. This increase represents the fourth consecutive increase reported in Ornua’s PPI since April.
Irish milk prices and Ornua’s PPI