Meadow Foods has increased its milk price by 1ppl from September, taking their standard A litre milk price to 29.50ppl.
The decision to raise the milk price, for the fifth time this year, reflects the fact that dairy markets remain relatively strong, according to the dairy processor.
Meadow Foods said it is also "acutely aware" of the pressures that the recent hot weather and lack of rain is causing on forage stocks on farm.
Although this hasn’t yet significantly impacted milk volumes, they may well be affected going forward, it stated.
Mark Chantler, Chief Executive at Meadow Foods said: “We’re pleased to be able to pass on to our farmers the continued improvements in the dairy market.
“We do however remain focused on the overall dairy market which are currently giving some mixed messages on prices - with protein prices showing some signs of improvement but cream prices remaining unsettled.
Mr Chantler: “We will continue to carefully monitor how both supply and demand develop over the next couple of months and react accordingly.”
Meadow Foods is the UK’s largest independently owned dairy group and a supplier of dairy ingredients to the food industry.
