Ornua has predicted that average farmgate milk prices are likely to remain in the 30c/l to 32cc/l range, including VAT, throughout 2019.

On Wednesday, Ornua reported a 15% rise in operating profits to €40m and said it would return €19m to its co-op members on the back of its solid 2018 performance.

Ornua’s chief risk management officer Joe Collins said weaker milk supply through the first quarter, a pickup in global exports at the tail end of 2018 and the depletion of intervention stocks, should give strength to prices. However, he warned that trade wars and Brexit could dampen demand.