Aurivo increases May milk price
The Aurivo board increased its base price by 1c/litre to 30.36c/l (excluding VAT) for manufacturing milk at 3.6% fat and 3.3% protein.
The co-op said: “The price increase reflects improved market returns, particularly butter with record high prices.
“Powder prices have begun to firm over the last few months, from a low base. However, powder prices continue to be impacted by low oil price and global milk supply.
“The impact of record high prices for butter has yet to be seen on the medium- to long-term demand.”
Aurivo is the latest co-op to set a May milk price, with almost all of the co-ops increasing the price by 1c/l.
The latest Ornua Purchase Price Index (PPI) rose by 1.8% in May, resuming the growth trend which had stalled since the start of this year.
The PPI value now stands at 106.8, a level not seen since the autumn of 2014. This means the commodities exported by Ornua are returning a farmgate milk price of 30.3c/l (excluding VAT).