The Ornua Purchasing Price Index (PPI) for August is 118.1, down marginally from 118.6 in July. The equivalent price is more or less the same at 36.63c/litre for July down marginally from 36.65c/litre in July.

The equivalent price in cent per litre shows very little change when we include the Ornua value payment of 3.2c/litre ex VAT.

Co-ops have responded to last week’s front-page story, which showed a €60 per cow difference in the July Ornua price and the July farmgate price suggesting the summer months is when they make a margin so they can’t pay what the market is returning.

Ornua suggest the slight reduction for the August index is due to slightly weaker butter returns.