Ornua announced today (Wednesday April 6) that its purchase price index (PPI) rose 12 points for the month of March.
The PPI for March is 164.3, which is equivalent to 49.1c/L including VAT.
This is based on the mix of Ornua product purchases and assumed member processing costs of 9.7c/L.
Ornua again pointed out that the assumed processing costs do not include any allowance for transformer margin and include a variable element to reflect increased energy costs.
The PPI figure for March is up from 152.3 the previous month, equivalent to 45.8c/L including VAT.
“The increase is the result of stronger and continued feedback across the product line.” pointed out a spokesperson for Ornua.
Additionally, the Ornua value payout payable to members for the month of March is €5.55 million, which equates to 4.4% of gross purchases for the month and 3.6% since the start of the year.
Elsewhere, the World trade in dairy products (GDT) index fell 1% following its last trading event.
Following yesterday’s (Tuesday 5 April) auction, the index now sits at 1,564, down from 1,579 previously. This is the second consecutive decline for the index, which remains at historically high levels.
A total of 159 bidders participated in the trade event with 101 winning bidders.
There were 16 betting rounds during the event which lasted two hours and 20 minutes. 21,511 MT of products were sold, with an average price paid of $4,981.
Buttermilk Powder (BMP), which was not on sale at the previous event, rose 6.3% to $4,461.
Cheddar rose 2.7% to $6,472 and there was a 1% increase for skim milk powder (SMP) to $4,599.
Anhydrous milkfat (AMF) fell 2.5% to $6,908 and there was a 1.5% drop to $4,532 for whole milk powder (WMP).
The price of butter fell 0.6% to $6,891 and there was a similar decline for lactose for a price of $1,598.
Sweet whey powder was not offered for sale at the event.