First Milk has announced that its milk price for April will increase by one pence per litre amid 'considerable inflationary cost pressures'.
The UK co-operative announced on Friday (4 February) that its milk price will rise from 1 April 2022.
This means its standard litre will go up to 35.75 pence per litre, the farmer-owned co-op confirmed.
This will be applied through a 0.5ppl increase in constituent payments, with a further 0.5ppl coming from the introduction of the previously announced regenerative farming bonus.
This bonus is payable to all members that have completed their regenerative farming plans.
Farmer suppliers were asked to complete an individual regenerative farming plan, to be sent in by the end of March 2022.
The plans should detail farmers' current practices and planned changes to reduce carbon emissions and increase carbon sequestration and biodiversity.
Commenting on the price increase, Robert Craig, First Milk vice chairman said: "We know that our members face considerable inflationary cost pressure and we’ve been focused on delivering milk price increases to help address this.
"Since December this has amounted to an additional 3.75ppl, taking our current milk price to 34.75ppl for March on a manufacturing standard litre."
He added: “We are pleased to announce a further 1.0ppl increase for April, including the important recognition of our commitment to regenerative farming principles with the introduction of our regenerative farming bonus.
"We will continue to work to return additional money to our members through the milk price in the months ahead to help mitigate the impact of increased costs.”
