The Ornua purchasing price index (PPI) held steady for December. The result which was published Wednesday 6 January put the index at 104.2 down from 104.3 last month.

When adjusted for the Ornua Value Payment and accounting for 7c/l assumed processing costs it puts the October equivalent milk price at 31.22c/l ex VAT (32.9c/l incl VAT).

Using the index we calculate the December equivalent price at 28.7c/l and then add on the estimate of the Ornua value payment of 2.52c/l to get the equivalent of 31.2c/l ex Vat (32.9c/l incl VAT). Farmers can compare this Ornua price directly with their own co-op milk prices.