Dairy co-operative Arla is increasing its conventional milk price by 0.88 pence per litre from 1 August.
This takes Arla's standard litre price to 31.38 pence per litre.
According to the co-operative, this increase has been possible mainly due to the continued hot and dry conditions, which are having an impact on European milk production.
Commenting, Arla Foods amba board director, Johnnie Russell said: "Given the impact of the continued challenging weather conditions on farm and milk volumes, this increase will be welcome news to our farmer owners.
"However, there is growing uncertainty in the commodity markets and strong supply in organic markets, particularly Germany and France, which continue to keep pressure on prices."
