Dairy co-op First Milk has said it is looking for more local milk to supply its Apatria plant in Cumbria.
Robert Craig, part of the seven-member council set up by the co-op last year, said the business was in the market for recruiting more milk volumes.
He told News & Star: "The business is definitely in the market for recruiting more milk volumes.
"Because of natural wastage and people retiring, ideally we would like to see more local milk to go through Aspatria.
"Things are very good. First Milk is looking very attractive. It is a really good business."
The seven member council of First Milk members represent farmer owners and oversee the strategy of the business.
After announcing a record loss of £25m in 2015, First Milk took the decision to delay payments to farmers to plug the black hole.
They said it was overhauling the way it was run and cutting the number of board members.
Mr Craig said the industry had recovered but it is still not back to where it was.
"The heat has been taken out of the market and the market is tighter for milk. Values will rise. It is still positive for milk price rises from all our dairy companies."
'Different Business'
The co-op said this year it is to repay its 1,000 farmer-owners for a fortnight's missed milk payments.
The deferral of member payment terms made at the end of 2014 will be reversed. The payments were originally pushed back in January 2015.
Clive Sharpe, Chairman of First Milk: "This move sends a clear signal on the progress made by First Milk and returns our payment terms to normal for our members."
CEO Mike Gallacher added: "Returning to our previous payment terms draws a clear line under the turnaround process for First Milk.
"First Milk is a very different to the business of early 2015.
"We are a lean, focused and financially secure business capable of delivering a competitive milk price for the long term.
"The role for a scale British Dairy Co-operative is even more compelling post Brexit and we aim to demonstrate this in the years ahead."
