First Milk has become the latest processor to announce a milk price decline for July, amounting to a 1.04p per litre fall.
The move means its milk price on a manufacturing standard litre will sit at 36.85p per litre, including the member premium.
Robert Craig, First Milk's vice-chairman, admitted that the news would be 'unwelcome' for the processor's farmer suppliers.
“We understand the impact ongoing price reductions have at farm level, and that this news will be unwelcome.
"We continue to work hard to ensure that we maximise our members’ milk price and minimise volatility as much as possible.”
Dairy processor Muller recently announced a further milk price reduction for its farmer suppliers, also starting from July.
Producers who meet the conditions for the processor's Advantage scheme will receive a milk price of 38p per litre.
Richard Collins, head of agriculture at Muller Milk & Ingredients, warned that the market was still uncertain.
