First Milk has today announced that its milk price will increase by 0.75p per litre from 1 October.
This will take its milk price on a manufacturing standard litre to 49.39p per litre, including the member premium.
The UK dairy co-operative said producers continued to experience inflationary cost pressures.
“I am pleased we can continue to increase the milk price to further help our members who are contending with the recent dry weather conditions in addition to unprecedented inflation," said Robert Craig, vice chairman.
"We continue to do everything we can to recover returns from the marketplace and deliver these to our members as quickly as possible, recognising the considerable cost of production difficulties they face.”
It comes after Muller announced a milk price increase of 1p per litre from October, to 48p per litre.
Rob Hutchison, chief executive officer at Müller Milk & Ingredients, said the processor was 'doing everything' to support farmers amid high inflation.
"In the coming months we will continue to closely monitor the various factors which influence farm gate milk price, including farm supplies," he added.
