Following a meeting of the board of Dairygold today, the co-op has announced that it has increased its September milk price by 1c/L.
Dairygold will pay a price of 26c/L including a quality bonus of 0.5c/L and VAT for September milk.
This increase follows last month’s 1c/L increase for August milk and the previous month’s 1.5c/L increase for July milk.
Yesterday, Aurivo announced that it too would increase its September milk price by 1/L, bringing the base milk price for suppliers to 25.75c/L.
Several other Irish co-ops also increased the milk price for September:
- Kerry - an increase of 1c/L, bringing the milk price to 26c/L.
- Arrabawn - an increase of 1c/L, bringing the milk price to 26.7c/L.
- Glanbia - an increase of 1c/L, bringing the milk price to 26c/L.
- Lakeland - an increase of 1c/L, bringing the milk price to 26c/L.
The rises in September milk price come following a third consecutive rise in the Ornua Purchase Price Index (PPI).
The Ornua PPI rose to 92.2 points for September and is the equivalent of 26.6c/L, VAT inclusive and is based on Ornua’s product purchase mix and assumed costs of 6.5c/L.
According to Ornua, the September rise reflects higher returns across all of the main products. Returns on dairy products stabilised in June and since then prices have been on the increase.
Meanwhile, dairy product prices rose at today's Global Dairy Trade auction by 1.4% on the previous event.
This latest increase in prices at the Global Dairy Trade auction comes after a dip in prices of 3% earlier this month and four consecutive price increases previous to that.
Butter (up 2.6%), lactose (up 5.6%) and whole milk powder (WMP) (up 2.9%) were the products with the most gains at today's auction. Skimmed milk powder (SMP) prices decreased by 0.3%.